Legal Question in Real Estate Law in Illinois

Re: Bank setoff or offset

It's difficult to answer your question without more facts. Did the past due payments come due before or after the FIL's death? Has the bank filed a claim against the estate? What are the offset rights under the bank's account agreement with the FIL? IS the account one that was opened by the estate or is it simply an account that was opened by the FIL and not kept open after his death?

One thing that occurs to me is that, notwithstanding the bank's right of offset, if any, is that the estate probably has a claim against the stepmother.

The answer to your question vis. the bank depends a lot on the particular facts. It's difficult to offer any truly constructive response without more background.

Re: Bank setoff or offset

It depends upon the deal the deceased had with the bank while he was alive, and whether the account has been put in a seperate account in the name of the estate. If the deceased had an arrangement that allowed the bank to take funds if the mortgage was behind, AND the account was NOT shifted into the estate account, the bank can take the money. You have to find this out. Your probate lawyer should call the bank & find out.