Mom's Credit Card Debt After Death

[cdwrites]

What is the name of your state? New York

Do I have to pay mom's credit cards after she has passed away? I am the sole beneficiary (only child) in her will. Most of her bank accounts were either joint with me or in trust for me. I already own her house (title was transferred to me one year ago). I will receive her life insurance policy. After paying funeral and nursing home expenses, there will not be much left in the bank accounts. She has about 10,000 in credit card debt. Any advice during this very difficult time is appreciated.What is the name of your state?

 

[Some Random Guy]

You are not responsible for your mother's debts. Her estate is. Before you start distributing her assets to her heirs (yourself), you had better pay off her credit cards and the other outstanding debts (nursing home and funeral). If the estate is out of money before the credit card debts are paid then the creditors are out of luck,

Since the house is in your name and since life insurance is not part of the estate, neither of these assets must be used for her debts.

Contact the credit card companies and determine what they will need to close the accounts.

P.S. should have said credit card debts would be gone if the estate was out of assets. You may be on the hook for the funeral if you made the arrangements. Also, who put your mother in the nursing home and what contracts were signed at that time?

 

[cdwrites]

Mom was only in the nursing home temporarily. She went there after being in the hospital for 7 weeks. It was more of a rehabilitation type of thing and she was going to stay only until her 90 days of Medicare were up. Then, she was going to go home.
Why should I pay the credit cards first? I am definitely responsible for funeral home; I made the arrangements. I don't remember signing a contract at the nursing rehab center but they have always sent me all bills even other times last years when my mom was in and out of there. I am very upset with the nursing home bill because I had signed mom up for a new supplemental insurance that was supposed to be taking care of the co-pays that Medicare doesn't pay. Well, now the supplemental insurance, AARP, says they won't pay the claim because she was already at the nursing home prior to the effective coverage date. They never told me that when I signed mom up and I asked a lot of questions about preexisting. I'm also considering a wrongful death suit against the nursing home; they were neglectful and I think there were signs that things weren't going well for mom inthe days preceding her death and they didn't do anything about it. I'd rather hold off on paying them until I decide what I want to do or after speaking to an attorney about it.

 

[Some Random Guy]

Why should I pay the credit cards first?

I didn't say to pay the credit cards first. I said that the credit cards were the one debt that you know you are not personally reponsible for. This may lead you to put them last instead of first in the order to be paid.

As for the nursing home, you should pay their bills despite your doubts about their care. Not paying will just affect your credit and get bill collectors hounding you. The proper forum to argue about their care is in a lawsuit.

For the AARP insurance, did you receive any benefits at all? If not, then continue arguing with them over coverage. Tell that that you would accept a return of any premiums paid to them if you cannot convince them to cover the nursing home deductibles.