dbworker33
Junior Member
What is the name of your state (only U.S. law)? New Jersey
I can't seem to find a definitive answer while researching online.
My mother-in-law passed away without a will. The mortgage on her house is higher than what the house is now worth. The only thing she left when she passed was a life insurance policy that names my wife as the beneficiary.
Does the bank that holds the mortgage (creditor) have a claim against the proceeds that my wife will recieve from the life insurance payment? I know that life insurance is a non-probate asset, so she wouldn't have to go through probate court to receive this payment.
Any advice would be greatly appreciated. Thank you
I can't seem to find a definitive answer while researching online.
My mother-in-law passed away without a will. The mortgage on her house is higher than what the house is now worth. The only thing she left when she passed was a life insurance policy that names my wife as the beneficiary.
Does the bank that holds the mortgage (creditor) have a claim against the proceeds that my wife will recieve from the life insurance payment? I know that life insurance is a non-probate asset, so she wouldn't have to go through probate court to receive this payment.
Any advice would be greatly appreciated. Thank you