Legal Question in Credit and Debt Law in Maryland

Spousal Debt

My wife and I have been living w/ and taking care of her parents for almost a decade in their home in MD. A couple years ago,they turned their house over to my wife and I in what is called a Life Warranty Deed(LWD). My wife and I have MEDICAL,but not financial Power of Attorney. As we understand the LWD, the house belongs to my wife and me now, and they have the right to live there until they die or until they decide to leave. My concern is this; they now have Alzheimer's and her mother is much worse off than her father. Her mother was in rehab lately and creditors started calling because she missed some payments on her credit cards. Her husband has always paid cash for everything and he never knew she had these cards. She now has $60,000 in debt on 6 cards. We have explained this to my father-in-law,but he refuses to pay it. He doesn't really understand why he should pay this. He is upset w/ her and won't even discuss it. My wife and I got a credit report on her mother and she has always paid the monthly charges and has excellent credit with no late payments noted. Of course, now no payments are being made because of her health. She is the only authorized user listed on her cards. Will her husband have to pay her debt?


Asked on 2/02/05, 10:23 pm

1 Answer from Attorneys
Carolyn Gilden Krohn Law Offices of Carolyn Gilden Krohn

Re: Spousal Debt

Assuming the credit cards are all in the wife's name, the husband is not responsible for them, unless he signed something agreeing to be responsible. Might not be a bad idea to get a letter from her doctor with the alzheimer's diagnosis, along with the prognosis, and when they call get a correspondence address to send them a letter. It might not make a whole lot of difference, but if it stops one creditor from calling, it will be worth it. The creditors will make a claim against your mother-in-law's estate once she dies. If she has nothing in her estate, they will get nothing. Don't let the creditors bother you - they can be rather unpleasant. It is possible that they may refer the accounts out eventually to an attorney for collection. Once they realize that she has alzheimer's, they will probably back off. If they don't, and you need help, let me know.

Good luck!

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Answered on 2/03/05, 5:55 am


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