What happens to my debt if I die? 9 Answers as of August 31, 2011

Most debts incurred in life simply don't vanish upon death. After funeral expenses, homestead & exempt property allowances, and family allowances are paid out the deceased person's estate first, creditors then can seek to collect monies owed from the "net estate," but this is so long as that property is not jointly owned by the decedent & another person. Common examples of joint assets shielded from creditors include joint bank accounts and real property held by joint tenancy. Arizona's community property laws are also implicated here. Qualified estate planning and consumer debt counsel can help you tailor a will and trust to protect your hard-earned assets and your loved ones from relentless creditors or third party collectors. Do not delay.

It depends upon a number of factors, including: the type of debt, secured or unsecured; the amount of assets; the amount of debt; who the heirs/survivors are; and if your estate is subject to an administration. This response is not intended to create an attorney client relationship. The response is solely intended to answer the question presented. Additional facts and issues are unknown to the responding attorney. Should you still have questions, legal assistance should be sought by making an appointment to meet with an attorney, rather than attempting to resolve the issue via e mail. This response is merely provided to give direction to assist you in the decision of whether you should contact an attorney or not.

When someone passes the debt does not disappear. It becomes a part of the person's estate. The estate can be filed by your family if it is at threshold amount or the creditors can file a petition on your estate. A creditor has 1 year from notification of the date of death to file such a claim. The funds will then be paid out from the estate.

Provided that your creditors promptly make a claim on your estate. All your debts (or as much as possible) will be paid first before your heirs will be able to take any assets. Typically, funeral and hospital are always paid and have priority over credit cards. You mortgage will also need to be either assumed by one of your heirs or be paid off.

At the death of a Florida resident, their debt becomes part of their estate. If a probate estate is opened, creditors are given an opportunity to file a claim against the estate. If no probate estate is opened, then the creditors of the decedent are out of luck.

Whatever property you own would be subject to being taken by your creditors to pay the amount due to them.

It dies with you.

Your estate is liable for your debt.