What happens to your loans if you pass away?
in Banking, Insurance & Loans ·
Lawrence Cruz said:Yes, you're liable up to the total value of the estate. Though, to be honest—I'm not entirely sure if banks actually trigger those kinds of collection proceedings when a debtor passes away.
I could just use a bit more clarity on one thing—do I actually have to start paying off these debts immediately, before the probate process is even finalized, or am I just waiting until everything is settled through the estate?
And while we're sitting around waiting for the probate hearings to wrap up, is interest on those loans still going to keep piling up?