There’s an interesting article over at this blog (here’s a page from The New York Times) discussing whether creditors have a right ask for payments on debts owed by a deceased relative. The general consensus is, and should be, no. The exception is if a spouse or other person co-signs (guarantees) a loan or debt, then that co-signer would be liable for the payment.

While the blog and the NYT article discuss communication under the Fair Debt Collection Practices Act, and whether the creditor can ask you for payment, it’s important to remember also that, if you’re not liable for the debt, there’s no reason to pay for. I

‘d say never do something crazy and tell a creditor that you’ll cover your dead relative’s debts. Quite simply, it’s the creditor’s risk that the person they loaned money to just died. It’s time for you to grieve and forget about those debts. Of course, you’ll still have a instances where you’ll need to provide proof of death, but that’s fairly easy, and all collectors should provide you with an address to send a copy of the death certificate to.

If you’re having problems with harassing phone calls, contact our office for a free consultation regarding your rights. If you have a different take on this, we’d love to hear about it.

Hat tip: Consumer Law & Policy Blog