If I have debts and a mortgage, if there is no family to have to settle it what happens?
My friends are telling me that even if I have a will with an executor, (not filed with the state) there is no obligation on their part to pay off my debts if they are not family.
Debt is not inheritable. Not even for family members. Your kids don't have to pay off your debt, and your parents or siblings don;t either.
If you die with debts and a mortgage, all your assets get sold, to pay off the debts.
If you have a will, anything left over, after all of your debts are paid - including your funeral costs and final medical costs - would get distributed according to the will.
If you don't have a will, then a judge hires an estate administrator, who gets paid out of your estate, and who sells all your stuff to pay off your debts, and if there is anything left over, the judge distributes it according to state law.
If you don;t have anyone who relies on you for financial support, you may not need any life insurance coverage.
However, if things change and you get married, buy a home, start a family - in the future, and you get sick, you may be unable to qualify for life insurance when you need it most.
Learn how term life insurance works and what it can do to protect you for up to 30 years.
Insurance without any Medical Exam,
Just a Few Health Questions.
No comments:
Post a Comment