Unsecured Debts

What is the name of your state? Virginia

Questions in Virginia

My mom passed away two weeks ago. The loan for her home was in her name only. The deed was in her name and mine. Upon her death the house was mine. do i have to sell the home to pay off her unsecured credit cards? do i continue to pay the loan payment on the house? it is a second mortgage.

I'm sorry for your loss.

Did your Mom have a will?

What would the home sell for today if it was sold? How much in total equity do you have in the house (how much total in mortgage payments have you made)? If you want to keep the home if you can afford to keep making the monthly payments you need to be discussing this with the mortgage company to see if any corrections need to be made or if probate is necessary.

How much is the credit card debt?

Is the house now only in your name? (I.e., was it a joint tenancy before?).

The death and transfer doesn't wipe out the security of mortgages/home equity loans. You need to continue paying them if you want to keep the house. You might as well inform them so the bills / statements come to you. They are forbidden by federal law to call the loan merely because your mom died. If you don't pay they will foreclose no matter what the deed says and you will lose the house.

The unsecured credit cards pretty much can only pursue other assets of the estate. You're not personally responsible for them (unless you were on those accounts). If mom had other assets, you should get a probate action going and let the lawyer reconcile what's left.

While more facts would be useful (Timing. How you got to be a joint tenant. Did you pay or was it gifted? etc.), you'll need to see an attorney. In the olden days, the estate would have passed to you with no recourse to the unsecured creditors. The case law is changing to allow unsecured creditors a claim against the joint tenancy so you need an attorney to look up the relevant case law for your state.

As to the secured debt (loan on the house), it goes with the house. You still need to pay it if you don't want to get foreclosed on.