Debts On Death

[Postdog]

What happens if you die owing money, and you barely have enough for to pay for a funeral as it is?

[hc4361]

If you have no assets the debts are written off and the state pays for the funeral if nobody else is prepared to

[ummmm]

If the debts are in your sole name then they die with you.

[fiction-factory]

Agreed. Debts have to be repaid before the estate is distributed. If there isn't enough in the estate to pay the debts then the debts are written of. There is nowhere to else to go. Is there aproperty and spouse involved though?
I do wonder what would happen though if a creditor feels that someone has deliberately disposed of assets before their death, perhaps knowing they were going to die soon

[THECORBYLOON]

The Local Authority will pay for the funeral or cremation but they can recover costs from the estate.

[fiction-factory]

Not sure mine makes sense. Some letters and words seem to move around on here while I'm typing. Sometimes ny text starts going backwards!

[ummmm]

If there is a property they could put a charge on it so they get repaid when it's sold.

[Postdog]

OK, so what happens if property is joint and then goes to solve ownership? Is the survivor expected to stump up from their share.

By the way, we aren't talking major amounts here. The only credit I have is a nominal amount of a couple of grand on Barclaycard. No other debts whatsoever as I have been very responsible while not earning.

Unfortunately living with someone who isn't has made things difficult.

[hc4361]

That depends on how you own the house - joint tenancy or tenancy in common.

[Postdog]

House is automatically hers.

[Buenchico]

If two people co-own a property as 'joint tenants' then, when one of them dies, the property does not form part of the deceased person's estate (as therefore can't have any of their debts charged to it). The ownership of the property simply passes to the survivor.

If two people co-own a property as 'tenants in common' then, when one of them dies, the property forms part of the deceased person's estate and therefore can have his/her debts charged to it. (That applies even when, through the deceased person leaving leaving a will or through the laws on intestacy, their part of the house was due to pass to their partner).

[Postdog]

Cheers Buenchico. As ever concise and to the point.