Legal Question in Wills and Trusts in Massachusetts

Re: Credit Card Debt of Deceased Person

I am sorry to hear about the recent loss of your Father.

Each of your Father's creditors has the right to make a demand for payment of your Father's estate. If your Father's estate has not been probated, creditors have the right under Massachusetts law to commence probate on their own behalf.

If there are insufficient liquid probate assets in the estate with which to satisfy the debts of the deceased, then probate property will need to be liquidated or mortgaged in order to satisfy the same.

You should have the estate reviewed by an attorney. There may be legal ways to either avoid the debt altogether, or negotiate the repayment of the debt.

Please feel free to contact my office if you would like to schedule a consultation.

Re: Credit Card Debt of Deceased Person

The information you provided is somewhat contradictory. You stated that your father owned the house but you also stated that your grandmother owns the house for the balance of her life. If your grandmother owns the house for the balance of her life, then the house did not belong to your father. If your father owned the house and there was an interest recorded at the registry of deeds that automatically transfered ownership, then the house is not a probate asset and can't be used to pay credit card debts. However, if the house was owned by your father and not subject to an interest after his death, then it is subject to probate to pay unsecured debts such as credit cards. This area of law can be technical and may require looking at records from the registry of deeds. You should consult an attorney to determine how you should proceed.

Re: Credit Card Debt of Deceased Person

My condolences on the recent passing of your parents.

You should retain an attorney to determine if the real estate is a probate asset subject to claims by your Father's creditors, and if so, whether a mortgage might be obtained , if necessary to negotiate payoff to those creditors who file timely claims.

Good Luck!

Re: Credit Card Debt of Deceased Person

Because probate laws with respect to illiquid or insolvent estates can be quite technical, you are well-advised to contact an experienced probate attorney.

There are steps which can be taken to "force the hand" of any creditors, in some cases resulting in offers to settle for much less than the claimed amount. In addition, there are short statutes of limitations and bar dates which have to be met by creditors after notice in the context of probate of an estate.

As other answers have mentioned, the exact outcome will depend upon specific facts of a given case, including whether a life estate arises from an inter vivos transfer (gift or sale during the lifetime of the original owner) or by specific devise in a will. While a "remainder interest" does not give anyone right to present possession during the lifetime of a life tenant, (subject to certain exceptions), that interest can be affected by how it was created.

An experienced probate attorney can help you sort out the issues.