My aunt recently lost her husband. He had a few credit cards that she knew about. He didn’t include her income when applying for those cards and didn’t list her as responsible. Now that he’s gone, will she be held responsible for debts on cards where she wasn’t listed at all? They live in North Carolina.
From Google AI
In North Carolina, a spouse usually isn’t responsible for the debts of a deceased partner unless they were joint account holders or co-signers. Since North Carolina doesn’t have community property laws, the surviving spouse typically won’t be responsible for debts that came up during the marriage.
@Willow
Thanks for that info. An attorney friend mentioned the same, so I was looking for a second opinion.
Del said:
@Willow
Thanks for that info. An attorney friend mentioned the same, so I was looking for a second opinion.
I’ve got 20 years of experience with handling credit cards after someone has passed. I agree with what Google said. I double-checked NC law too.
I’m really sorry to hear about your family’s loss. My dad passed away suddenly in NC back in 2017, and he had some cards in his name only without including my stepmom. If that’s the case for your uncle and aunt, she shouldn’t have to pay those debts. We had an estate attorney send letters to all creditors, and they wrote off the debts. We did the same with his medical bills, providing the death certificate. My stepmom managed to keep the house and other assets. Hope this helps your family.
Did your uncle leave behind an estate?
If there’s no estate, just send copies of the death certificate to the creditors.
No estate.
Del said:
No estate.
He didn’t own anything at all?
If he owned something, that would be considered an estate, and it could be used to pay off debts. After that, people can get their inheritances.
@Ori
You can’t just walk away from it like that.
Jonah said:
@Ori
You can’t just walk away from it like that.
It’s simpler than it sounds. You sell whatever you can and use that money to pay off debts. The actual value doesn’t matter unless you sell a $40k asset for only $40. If the creditors find out, they could sue the executor. Usually, if the debts exceed the assets, it’s best to walk away and not go through probate. Items that aren’t titled can often just be passed on to family members for sale outside of probate. Titled assets like cars or real estate are different.
@Bela
That’s not accurate.
Jonah said:
@Bela
That’s not accurate.
I’m confused. This discussion started about spousal debt after death. When someone dies, the car doesn’t matter anymore.
If your spouse passes away, you need to get those assets in your name somehow.
Not sure how they do things in NC, but I’d check with local credit unions. If your uncle had any other open accounts he forgot about, they should get closed.
If she wasn’t listed on the accounts, your aunt won’t be responsible for his debts.
From what you’re saying, he doesn’t sound very considerate. But your aunt likely won’t face more financial responsibility.