Legal Question in Credit and Debt Law in New Jersey

Re: Payment of debt owed by my estate upon my death

In order to help protect your parents, their loan to you should be memorialized by a written promissory note,which contains the terms of your loan, specifically, the amount, interest rate, payment terms, etc.

That way, in the event you die, your parents can file a claim against your estate for the amount of the promissory note.

Another thing you might consider would be to give your parents a mortgage or deed of trust against your real property, which could be filed with the land records. This would give your parents a lien against your real property, and assuming sufficient equity in the property, your parents would be paid when the property is refinanced or sold.

However, $50,000 is a significant sum, and you should consult an attorney directly for a conclusive answer.

I strongly recommend that you consult with an attorney immediately so that you can explore your legal rights, obligations, and options. If you wish to discuss retaining my services, contact me at:

[email protected]

(973)-605-8995

(*Licensed in New Jersey, Maryland, and Dist. of Columbia)

[Disclaimer: The above comments are not intended as nor should they be relied upon as "legal advice", which can only be obtained by personal consultation with a retained attorney; at which time the specific facts and circumstances of your case can be thoroughly evaluated. This reply is provided for general informational and educational purposes only, and does not create an attorney-client relationship with the responding attorney.]