Legal Question in Wills and Trusts in Texas

Re: Debt after death

That's a fact specific question, but let me give you some general information. Life insurance policies are typically not probate assets and therefore not subject to estate debts. In most cases, liabilities of the estate are credited against estate assets to the extent that there are such assets available. If the estate is insolvent (can't pay the creditors) then a classification system kicks in that gives certain debts priority over others (for example, funeral and some last illness debts would take priority over a phone bill.)

Re: Debt after death

The credit card company would look to your estate, such as it may be. Note that your insurance is not part of your estate, since it passes by contract rather than inheritance.