February 24, 2024
Inheriting Debt: What Happens When a Parent Dies Owed Money
A reader is concerned about inheriting their father’s house and being responsible for his substantial debts. The advice is that they likely won’t be personally liable for the debt beyond the assets in his estate. If the estate is insolvent (more debt than assets), creditors may not be fully repaid, but the heirs won’t be sued. Debt collectors may still contact them, but they are generally not responsible for the debt. It’s advisable to consult an attorney if questions arise and to report any
