7 posts shown.
rowdyraven112 said:I checked with two different sources. Here’s the deal. Taking over a survivor benefit is a statutory right, not an inheritance. That means there's no way creditors can jump on his pension based on her old debts. They might try to sue him over marital assets later, but that's a different story. Or they could target any property still sitting in her name.
The thing is, she didn't own any real estate. The only thing she had was a burial plot (and even then, we only inherited a 1/4 share), which was worth about $2000. We’ve already settled the debt she owed to the bank. Now, out of nowhere, they’re trying to freeze my dad’s pension without even sending him an official notice or anything. I’m honestly terrified that if we file a lawsuit, it’ll just turn into a massive, expensive clusterfuck, but looking at how things are going, it feels like our only move left.
So, my dad just started receiving survivor benefits after my mom passed away. She had some outstanding debts and garnishments tied to her accounts that she was paying off. Now that he’s officially opted to waive his own pension to take over hers, is it actually legal for those old collectors to come after his money too? Like, can they just attach her old debts to his new income?
For years, my mom had certain amounts being skimmed directly from her pension because she owed some cash to a big bank in New York City. My dad, my brother, and I were all in the loop on this, so when she passed, we went ahead and accepted the inheritance. The catch? She didn't actually own any real assets—the only thing she had was a right to use a 1/4 share of a family burial plot. Just two weeks after we settled everything, a letter arrives from the bank hitting the three of us with a massive bill for her outstanding debt. Since there wasn't any property to cover it, my brother and I ended up cutting a deal with the bank to settle the amount using the value of that 1/4 plot share. Honestly, we probably shouldn't have even had to pay it, considering the cemetery is city-owned and we just pay a "lease" fee, but we bit the bullet just to avoid a nasty legal battle.
This whole ordeal was a massive wake-up call that could have absolutely buried the three of us financially. I’m sharing this for anyone out there who isn't 100% sure about the financial mess their loved ones might be leaving behind. Sometimes, walking away from an inheritance is actually the smartest move you can make.
And seriously, hire a lawyer from the jump, no matter how much it feels like a rip-off upfront. It'll save your skin later.
Cheers
Daniel Martinez9 said:Why not consider filing an objection? You're one of the few people who actually understands their position and realizes they've been served (most older folks never grasp it until their bank account is frozen). Why not use that legal recourse... $475 It’s clearly too much, so you should COMPLAIN about those collection fees instead of just sitting there. But hey, it's your call... if you just leave it to fate, you'll end up paying the debt plus the full collection fees, and there's a real risk you'll end up paying twice.
The mandatory relationship law. My previous answer assumed there was no estate involved. If things are more complicated than that, it changes.
But I can tell you for sure: if someone plans to take Social Security, it won't be garnished because that's a legal right, not part of an estate.
Yes, you should probably hire a lawyer, but specifically one who specializes in this field.
And make sure you agree to pay AFTER the work is done. Don't fall for smooth talkers.
Honey, it wasn't just a warning; it was a garnishment order. Are you absolutely sure what you received, or is it something else? Don't pay a cent until you verify exactly which garnishment hit, and you can only find that out through the IRS... 😉
Thanks. She didn't have anything to inherit, so this should all turn out fine in the end.
Best,
Daniel Martinez9 said:Once the debtor dies, it's over. If the bank didn't collect the debt while they had the chance, they're out of luck. If they had a lien on the property, they can move to seize it. Immediate family gets first dibs on buying out the property for the amount of the debt. There’s more to it, but that’s the gist.
Is there an actual legal code where I can look this stuff up, or am I going to need to hire a heavy-hitting lawyer to make sense of it all?
Thanks for the assist.
Hey everyone.
Does anyone happen to know if the statute of limitations still applies if the debtor passed away? I'm looking at a situation where a bank failed to collect on what they were owed back in the day—we're talking about a decade ago while the person was still alive. Does that clock still run?
Thanks in advance.