What happens to your loans if you pass away?
in Banking, Insurance & Loans ·
Anyone here actually know how to untangle this mess? My ex passed away, leaving behind a loan with about 13 years left on the clock. There’s a guarantor involved who has some notarized paperwork where my ex promised a smaller property as collateral if the payments fell through. So, what’s left in the estate is basically just this debt and a little house that’s currently worth barely half of what is owed on the loan. The inheritance is being split between three kids—ages 5, 18, and 19. Since there isn't enough work history for any survivor benefits, none of the kids have an income right now.
As the ex-wife, I don't have any legal claim to the assets or any responsibility for the debt. So, how—and more importantly, from whom—is the bank going to collect this money?
As the ex-wife, I don't have any legal claim to the assets or any responsibility for the debt. So, how—and more importantly, from whom—is the bank going to collect this money?