What is the name of your state? Indiana
I am the excutor of my deceased father's Living Trust. He left me his house in the trust, but died before he could sign over the deed at the County Court House. I've been paying the mortgage since he died in August, and on the Van he bought in May. I notified his creditors with his death certificates, most sent their condolences and wrote off the debt.
However, the Van was repossed by the finance company, without any notice, after they agreed to my taking over the loan. The Van was especially arranged to handle my dad, and had a value of $34K. The finanace company has already sold the Van for $10K and has now put a claim against my dad's estate for the balance of the loan, £24K.
My dad's estate is now being forced into probate and the house, I'm told will have to be sold to satisfy his debts.
I don't want to sell the house, as I have no where else to go, and the bank has agreed for me to take over the mortgage if I get the deed straightened out. Plus it has many sentimental memories, as I grew up in the house with two loving parents and a brother and sister. The house has been appraised at $35K.
My questions are:
1) Why can't the Living Trust, giving me the house, be seen as the same as signing the deed papers?
2) What good is a Living Trust if the estate can be forced into probate?
3) If need be, can I, as the excutor of my dad's estate declare bankruptcy, on behalf of the estate, to avoid the selling of the house?
(I've also posted on the Bankruptcy forum)