paying debt to an estate

[TJKING4]

What is the name of your state (only U.S. law)? Georgia

Are you required to pay money you owe to an estate before you can collect money from said estate? Or can you get money when it is divided and then repay your debt when you want to?

 

[HomeGuru]

What is the name of your state (only U.S. law)? Georgia

Are you required to pay money you owe to an estate before you can collect money from said estate? Or can you get money when it is divided and then repay your debt when you want to?

**A: I would go with the first option. And you really have not provided us much to go on. Are we supposed to read your mind?

 

[nextwife]

THird option: Have your debt deducted from what the estate would distribute to you..

 

[Zigner]

third option: Have your debt deducted from what the estate would distribute to you..

Bingo!

 

[TJKING4]

sorry, I am new to this. I know mind reading is expensive and since this is a free forum I do not expect it.

I am the executor of my dad's will. I have 3 siblings. Two owe a good deal of money to daddy. Daddy always said whoever owed him money had to pay his estate. The debt did not die with him. The siblings want their share of the estate and then they will pay their debt back as they are able. I feel that their debt should be paid first and then they will get something if there is anything to left.

**A: I would go with the first option. And you really have not provided us much to go on. Are we supposed to read your mind?

 

[TJKING4]

I don't happen to owe anything but that is exactly what I would do if I did owe. But 2 of my siblings feel that they should get equal shares now and pay when they can, feel like it, etc. One sibling who owes the most is going to see a lawyer to force me to pay her before she pays her debt. Also, I did not see the first two options, I am having trouble viewing this website. So can you repeat the first two options? Thanks

THird option: Have your debt deducted from what the estate would distribute to you..

 

[CLJM]

What is the name of your state (only U.S. law)? Georgia

Are you required to pay money you owe to an estate before you can collect money from said estate? Or can you get money when it is divided and then repay your debt when you want to?

Were your sibling's loans noted in the Will and were there any stipulations about how they were to be repaid ?

 

[curb1]

1) How much is involved here?

2) How much cash assets?

3) How much are the debts of the two siblings?

4) Has this will been submitted to the probate court?

5) Are the assets in the estate all cash?

6) Is there any dispute over the amount of the loans? Is anything in writing?

Divide the cash assets into three equal shares. Then subtract the debt from each sibling. Then divide the remaining balance (the combined debt) into three shares and add that to each siblings share.

So if the estate had a value of $12,000. Divide that into three parts ($4,000). One sibling owes zero, one sibling owes $500 and the other owes $2,000. You would then have sibling "A" with $4,000, sibling "B" with $3,500 and sibling "C" with $2,000. That would be $9,500 total. The remaining $2,500 would be split three ways. Sibling "A" would end up with $4,833.33, sibling "B" would have $4,333.33 and sibling "C" would have $2833.33.

 

[nextwife]

Has probate been opened? Have estate creditors been given ample time to file their claims and be paid? It would be inappropraite to pay out to a party who owes money to the estate and not pay all the legit creditors.