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[Sinamenone]

What is the name of your state? PA

Good afternoon,

My sister just passed & I'm wondering what happens to her 2020 Camry? I phoned the finance company. They want a copy of the death cert & they'll cancel the payments on the car; no problem.
What do I do next?

Thanks in advance

 

[PayrollHRGuy]

Was this the only asset your sister owned? Did she have a will? Spouse? Children? Parents? Other siblings?

 

[Zigner]

What is the name of your state? PA

Good afternoon,

My sister just passed & I'm wondering what happens to her 2020 Camry? I phoned the finance company. They want a copy of the death cert & they'll cancel the payments on the car; no problem.
What do I do next?

Thanks in advance

They aren't just going to cancel the payments - they are going to expect the car to be returned or paid for as well.

 

[LdiJ]

What is the name of your state? PA

Good afternoon,

My sister just passed & I'm wondering what happens to her 2020 Camry? I phoned the finance company. They want a copy of the death cert & they'll cancel the payments on the car; no problem.
What do I do next?

Thanks in advance

They will want to repo it. I am guessing that they are expecting you to voluntarily do so.

 

[quincy]

What is the name of your state? PA

Good afternoon,

My sister just passed & I'm wondering what happens to her 2020 Camry? I phoned the finance company. They want a copy of the death cert & they'll cancel the payments on the car; no problem.
What do I do next?

Thanks in advance

I am sorry to hear about the loss of your sister, Sinemenone.

You have not made clear in your post whether you want to return the car or eventually take ownership of the car. The link below is information on how you can transfer ownership of the car, but the financing contract will have to be honored (payments on the loan will need to continue or the loan paid in full) or the vehicle will be repossessed.

Here is a link to a Pennsylvania Fact Sheet on vehicle transfers after the death of the vehicle owners:
http://www.dot.state.pa.us/public/dvspubsforms/BMV/BMV Fact Sheets/fs-vehtrans.pdf

 

[adjusterjack]

I phoned the finance company. They want a copy of the death cert & they'll cancel the payments on the car; no problem.

That doesn't make sense unless turning in the car goes along with the death certificate. Even so, there would be the matter of the balance. If the resale of the (now) used car doesn't cover the balance, her estate will owe the balance to the extent that her estate has assets that can be sold to pay it.

 

[quincy]

It is generally recommended that all creditors and the credit bureaus are notified of the death of a debtor (with notification including a certified copy of the death certificate). This does not eliminate the debt but should halt any collection activity and prevent fraudulent activity.

It would probably be smart for Sinamenone/family to consult with a probate attorney.

 

[zddoodah]

My sister just passed & I'm wondering what happens to her 2020 Camry? I phoned the finance company. They want a copy of the death cert & they'll cancel the payments on the car; no problem.
What do I do next?

The car is the property of her estate, so what happens depends on whether she had a will (and, if she did, what the will says). If she had no will, then it will pass according to the intestate succession laws, so it depends on whether she was married and/or had kids. If she had neither a spouse nor kids, then it would go to your parents or, if they're also dead, it would go to siblings.

If the car is subject to a loan agreement and the lender has a lien on the title of the car, then the loan would typically have to be paid off in order to get the lien off the title. Alternatively, someone else could assume the loan. I'd be very surprised if any lender would simply forgive the loan balance and release the lien without payment (especially for a car that's probably less than a year into its loan). As others have indicated, it is more likely that the lender wants the car to be turned in, and the lender may be willing to forgive the balance due on the loan in excess of the car's value (given the age of the car, it's almost certainly upside down on the loan).

As far as how to handle it, is the car her only asset of significant value?

 

[TimStudiesLaw]

They aren't just going to cancel the payments - they are going to expect the car to be returned or paid for as well.

Unless the sister bought the Credit Life insurance.

 

[PayrollHRGuy]

Unless the sister bought the Credit Life insurance.

I was thinking that my self. Pity @Sinamenone hasn't been back to check the forum since she posted yesterday.

 

[quincy]

I was thinking that my self. Pity @Sinamenone hasn't been back to check the forum since she posted yesterday.

Sinamenone probably will return to check his thread. He usually adds to the threads he starts.

 

[Zigner]

Unless the sister bought the Credit Life insurance.

Fair enough.

 

[Sinamenone]

I am sorry to hear about the loss of your sister, Sinemenone.

You have not made clear in your post whether you want to return the car or eventually take ownership of the car. The link below is information on how you can transfer ownership of the car, but the financing contract will have to be honored (payments on the loan will need to continue or the loan paid in full) or the vehicle will be repossessed.

Here is a link to a Pennsylvania Fact Sheet on vehicle transfers after the death of the vehicle owners:
http://www.dot.state.pa.us/public/dvspubsforms/BMV/BMV Fact Sheets/fs-vehtrans.pdf

Thank you, I'd love to take ownership of the car since it was my sister's. Her financing was $620/mo, I don't want to pay that. I'm waiting for someone @ the dealership to call me so we can discuss any options.
I appreciate your reply & I'll check out the link... thank you!

 

[Zigner]

Thank you, I'd love to take ownership of the car since it was my sister's. Her financing was $620/mo, I don't want to pay that. I'm waiting for someone @ the dealership to call me so we can discuss any options.
I appreciate your reply & I'll check out the link... thank you!

Absent some sort of protection plan that pays off the vehicle in the event of her death, it's going to need to be paid. The estate is responsible.

 

[LdiJ]

Absent some sort of protection plan that pays off the vehicle in the event of her death, it's going to need to be paid. The estate is responsible.

If the estate is solvent the estate will have to pay the difference between what the bank can get for it when they sell it and the loan amount. If the estate has nothing, the bank is out of luck.