Legal Question in Wills and Trusts in Texas

Re: Outstanding debt at the time of death

Is there an executor? It doesn't sound in this case like there is any need to probate a will, unless the annuity is payable to the estate. If the annuity is payable to certain beneficiaries, then let it pay out to those beneficiaries. If the credit card company comes and pursues its debt, it may eventually get its hands on the annuity money, but the credit card company may not do anything beyond sending out demand letters to those people whom it thinks are the heirs.

Unless the annuity was payable to the estate, or there was some other reason to probate the will, like the naming of a guardian, then probably nothing should be done. Just wait for the credit card company to get tired of sending demand letters. If the credit card company or the annuity company causes problems, consult with your attorney.