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My Dad's Will

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aseitz

Junior Member
What is the name of your state (only U.S. law)? South Dakota

In April 1996 my dad , now 78 years old, did his will and named my mom personal representative and in the case that she is deceased, my brother is the executor. My dad is stacking up credit card debt and we don't know what else, he is very secretive and will not tell us what debt he does have. My question is in the event of my dad's death and if my mom is deceased, will my brother be responsible to pay off this mounting credit card debt or will it be forgiven by the companies.
 


anteater

Senior Member
No, your brother will not be personally responsible. Your father's estate will be responsible. Assuming that your brother becomes executor of the estate upon your father's passing, his responsibility will be to use the estate's assets to pay your father's legitimate creditors to the extent possible.
 

aseitz

Junior Member
Reply to Dad's Will

I would appreciate a reply and some input --------

My father does not have much for assets, in fact there is a lien on their property from past medical bills and what little life insurance he has will barely cover funeral expenses. What is the responsibility for paying creditors when this is the case?
 
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aseitz

Junior Member
No, your brother will not be personally responsible. Your father's estate will be responsible. Assuming that your brother becomes executor of the estate upon your father's passing, his responsibility will be to use the estate's assets to pay your father's legitimate creditors to the extent possible.


My father does not have much for assets, in fact there is a lien on their property from past medical bills and what little life insurance he has will barely cover funeral expenses. What is the responsibility for paying creditors when this is the case?
 

anteater

Senior Member
My father does not have much for assets, in fact there is a lien on their property from past medical bills and what little life insurance he has will barely cover funeral expenses. What is the responsibility for paying creditors when this is the case?
The answer does not change. There is no personal liability for your brother. If there are not enough assets to satisfy all the creditors, then the claims are paid according to the priority established by South Dakota law:

29A-3-805. Classification of claims. (a) If the applicable assets of the estate are insufficient to pay all claims in full, the personal representative shall make payment in the following order:
(1) Costs and expenses of administration;
(2) Reasonable funeral expenses;
(3) Debts and taxes with preference under federal law;
(4) Debts and taxes with preference under other laws of this state;
(5) All other claims.

(b) No preference shall be given in the payment of any claim over any other claim of the same class, and a claim due and payable shall not be entitled to a preference over claims not due.
If there are not enough estate assets to get to paying the creditors in (5), then the creditors in that class are out of luck.
 
^^^ That answers it pretty well. It sounds like your father will pass "insolvent". Insolvent basically means that he isn't able to pay back his debts...it sounds similar to bankruptcy but it is a different concept. The executor of a will is only responsible for paying back credit card debts when the estate he/she is the executor/executrix of has sufficient assets that can be liquidated to settle the debts. Personal responsibility for debts is not inherited by an executor/executrix.
 

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