anyone know anything about ESTATE law after someone dies?

dm24angel Posted: May 03, 2005 08:20 PM

anyone know anything about ESTATE law after someone dies?

We are kinda sure that my Uncle did not assign a beneficiary on his life insurance based on some paperwork we found dated about 7 months ago.
He was suppossed to go to court TODAY to file for bankruptcy , but it was dismissed due to his death.
He had $40,000 in debt to a Credit card.

If the life insurance goes into an 'Estate' due to no beneficiary...do the creditors get that money first? Anyone know?
And what about the funeral home? We signed papers that they would have a $6000 lien on the life insurance, will they be first in line versus last?

THANKS for any info!!!!!!!

shamrock12472 Posted: May 03, 2005 08:22 PM

Re: anyone know anything about ESTATE law after someone dies?

If it goes into the estate, yes, creditors will be able to attach it.

dm24angel Posted: May 03, 2005 08:27 PM

Re: anyone know anything about ESTATE law after someone dies?

Posted by shamrock12472

If it goes into the estate, yes, creditors will be able to attach it.

UGH! Thats what I thought, doesnt seem to be any way around it.

Im hoping we can pay the Funeral home FIRST out of it, because we dont have $6000 to pay that off.

shamrock12472 Posted: May 03, 2005 08:32 PM

Re: anyone know anything about ESTATE law after someone dies?

The funeral home should get paid first because they have 1st claim to the insurance monies. The rest of the creditors will be paid propotionately to what is in the estate.

lcherian Posted: May 03, 2005 08:36 PM

Re: anyone know anything about ESTATE law after someone dies?

Posted by shamrock12472

The funeral home should get paid first because they have 1st claim to the insurance monies. The rest of the creditors will be paid propotionately to what is in the estate.

yep. usually funeral debt is paid off before bank creditors.

dm24angel Posted: May 03, 2005 08:36 PM

Re: anyone know anything about ESTATE law after someone dies?

Posted by lcherian

Posted by shamrock12472

The funeral home should get paid first because they have 1st claim to the insurance monies. The rest of the creditors will be paid propotionately to what is in the estate.

yep. usually funeral debt is paid off before bank creditors.

at least theres that, thats good to know...THANK YOU!

lcherian Posted: May 03, 2005 08:38 PM

Re: anyone know anything about ESTATE law after someone dies?

and if the estate cannot fully pay off the bank creditors, the administrator of the estate will not be personally liable--the credit card company will probably just have to 'write it off'

dm24angel Posted: May 03, 2005 08:40 PM

Re: anyone know anything about ESTATE law after someone dies?

Posted by lcherian

and if the estate cannot fully pay off the bank creditors, the administrator of the estate will not be personally liable--the credit card company will probably just have to 'write it off'

Who would become adminstrator of the estate? There are only two living siblings, my mom and my aunt. No-one else but me and my cousin after after that
I dont think the life insurance will pay off all the debt.

OSCARtheGROOM Posted: May 03, 2005 08:41 PM

Re: anyone know anything about ESTATE law after someone dies?

Posted by lcherian

and if the estate cannot fully pay off the bank creditors, the administrator of the estate will not be personally liable--the credit card company will probably just have to 'write it off'

yup. thats the way it is.

lcherian Posted: May 03, 2005 08:46 PM

Re: anyone know anything about ESTATE law after someone dies?

Posted by dm24angel

Posted by lcherian

and if the estate cannot fully pay off the bank creditors, the administrator of the estate will not be personally liable--the credit card company will probably just have to 'write it off'

Who would become adminstrator of the estate? There are only two living siblings, my mom and my aunt. No-one else but me and my cousin after after that
I dont think the life insurance will pay off all the debt.

its usually a family member.

dm24angel Posted: May 03, 2005 09:04 PM

Re: anyone know anything about ESTATE law after someone dies?

thanks for you help!!

Blu-ize Posted: May 03, 2005 10:21 PM

Re: anyone know anything about ESTATE law after someone dies?

A life insurance policy has to have a beneficiary..at least the estate of.

blushingbride2003 Posted: May 03, 2005 10:45 PM

Re: anyone know anything about ESTATE law after someone dies?

Funeral expenses are the first to get paid as well as legal fees. Credit card companies are usually at the bottom of the list. If there isn't enough money in the estate to cover the debt then the credit card company will have to write it off.