My mom has a credit card in her name only. I am an authorized user and have my own card. She is going on Medicaid and I would like to know who is responsible for the outstanding debt. Some of the purchases on the account were for her and some were soley for me.
Creditors will call and call, send threatening letters and may even come knocking. Once the card holder dies, the estate takes over. Again, you are not responsible, even if you are the executor or the Personal Representative. If there is no money in the estate, i.e... house sold, proceeds passed on to heirs, then the creditor is out of luck. Most creditors either ignore the situation or they go after the estate. They wait in line until their turn appears on the court docket/. It may take years.
Executor or P.R. must remember to do two things after the death of the debtor: First, file an exemption with the fed and state indicting that the estate is worth less than the taxable amount on the Estate Tax: 2012: $5,000,000. 2013: $1,000,000.
The only action a creditor may take is filing a 1099 C.....must be done within three years of the deceased last filing of an Income Tax Return. If there are any monies in the estate, they can be attached. Forget " Familial Law" . It doesn't hold up in most states.
Been there, done that.
The verbal agreement was not the same as the bill. Am i responsible for this as his wife?