MONEY · CREDIT

Who Pays Debt After Death?

Usually the estate, not your family. Here are the exceptions.

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ENTRY 01 · CREDIT

Estate

PAYS FIRST

Debts are paid from what the person owned. If money runs out, debt often goes unpaid.

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ENTRY 02 · CREDIT

$0

FOR MOST FAMILY

Children and relatives don't pay from their own money, the FTC says.

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ENTRY 03 · CREDIT

Co-signer?

YOU SHARE IT

Co-signers and joint account holders are responsible for the balance.

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ENTRY 04 · CREDIT

9 states

COMMUNITY PROPERTY

Spouses in states like CA and TX may share debts. Ask a probate lawyer.

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ENTRY 05 · CREDIT

Life ins.

USUALLY PROTECTED

Life insurance and IRAs with named beneficiaries usually skip probate.

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FINAL ENTRY

Don't pay debt you don't owe.

The full guide: steps, collector rules and what creditors can't touch.

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Photo: Nenad Stojkovic / CC BY 2.0. Facts checked against official sources. Not financial or legal advice.