Creditor Claims

When someone dies, numerous parties will feel the effect of their passing. Those with direct personal relationships obviously experience the most profound impact, but those with a professional or financial relationship with the deceased party could also worry about...

Knowing that someone owes you money, you send them letters and call them to keep them informed. You take steps to make sure that they realize they owe you that debt, and you do your best to collect it. What about if they pass away, though? Now, you’re going to need to...

Some people die in the same way that they lived. They have more debt to repay than assets to cover those costs. If there are co-signers for any of those debts, creditors can continue to pursue repayment from the co-signers. Otherwise, an estate claim is necessary to...

If someone you know passed away while owing you money, you may be able to collect on that debt by making a claim against their estate. While many individuals won’t do this because what they’re owed is minimal, you have a right to do so. You lent money or assets, so...

After someone in California dies, it is very common for them to leave behind significant credit card debt. Then the credit card company must decide whether to pursue a claim on the debt. Because California is a community property state, if the deceased is survived by...

There's a common misconception that a person's death eliminates their need to repay their debts. This isn't the case, though. A person’s death does not do away with creditor claims for business or personal debts.  Creditors must act quickly to avoid losing out on the...

The majority of Americans are taking their debt to the grave. As debt increases, so do the problems creditors face in probate and trust litigation. Many Californians think of enjoying their golden years with no  more mortgage, student and car loans or credit-card...

When a creditor learns that a debtor has passed away, there are several things that might happen. Some creditors might just forgive what’s owed, but this might not be possible in some cases. Creditors will sometimes opt to pursue a claim against the decedent’s estate....

It's easy to put off aggressively collecting on a debt. As a business, you may not want a lawsuit or similar aggressive collection activity to damage your brand and reputation. As an individual owed a debt by another person, you may just expect them to make good on...

People often think of their golden years as years when they will live beyond their debt. They’ll have paid off their homes, saved for retirement, finished paying back student loans, etc. They’ll be done living with debt or living from one paycheck to the next. That’s...