Legal Question in Wills and Trusts in Arizona

My mother passed 10/2/11. I am wondering if her house + truck would be taken by the bank? She was the only signer of both w/ no life insurance, assigned trust or executor of estate. However, everything in her will is to be split 3ways (to my 2 sisters & I).

Secondly, since this is her only debt would that be handled in probate? Thus, paid w/ her 401k & then we'd get whatevers left if any?

If that's the case, should we discontinue making payments on the property? We are aware the banks must be notified of her death but haven't yet b/c of this. Ultimately, we want to keep the property & are willing to pay but fear the bank will make an offer w/ unaffordable lump sum pymts or repo it regardless.


Asked on 10/20/11, 6:27 pm

1 Answer from Attorneys
Donald Scher Donald T. Scher & Associates, P.C.

You should consult with an attorney to review the facts and circumstances of your mother's estate for answers to your questions. The mortgage lender on the house and the car loan are 2 different things and have different considerations regarding each one. The 401k is not going to be taken by either lender, but it is necessary to know if there were beneficiaries designated by your mother stating who gets her retirement account when she passes away. This account should not be part of her probate estate. I would be happy to meet with you to discuss the case.

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Answered on 10/20/11, 9:43 pm


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