Legal Question in Wills and Trusts in New Jersey

Re: Deceased Father's Credit Card Debt

You did not indicate who sold the trailer and under what authority? You also indicate that someone made the decision to use the proceeds to pay funeral and medical bills. Unless these creditors, funeral home and medical providers, were "priority creditors", (ie, having a priority claim over the credit card) they are on the same footing as the credit card company and whoever paid some creditors and not others may be personally on the hook for a portion of the credit card balance. I suggest contacting the credit card company and explain there were no assets in the estate to pay their bill. Be honest if they question about other creditor claims and payments. If an estate has insufficent assets to pay all obligations, the general law is that all creditors are on equal footing and must be paid pro rata. Of course, this would also mean that whoever contracted for the funeral could be personally responsible for the payment. It is possible that the credit card company may write off their balance, and the forgiveness could be considered income to the decedent. This is a response to an Internet question and the reply is not itended to be legal advice or as creating an attorney-client relationship.