What Bills Need to Be Paid After a Loved One Dies? A Laurens County Probate Attorney Explains
When a loved one passes away, grief and practical responsibilities often collide. Among the many difficult tasks that follow is determining which bills must continue to be paid and which can be stopped. Understanding your obligations can help you avoid unnecessary stress and protect the estate from financial missteps during an already overwhelming time.
As a Laurens County probate attorney, I guide families through this process regularly. Here's what you need to know about managing bills and debts after a death.
Which Bills Must Continue to Be Paid?
Certain expenses need immediate attention to protect the estate and prevent additional complications:
Mortgage and Property Taxes: If the estate includes real property, mortgage payments and property taxes should continue to be paid to avoid foreclosure or tax liens. This is especially important if heirs plan to keep the property or if it needs to be sold as part of estate settlement.
Utility Bills: If the home will remain occupied by surviving family members or needs to be maintained for sale, utilities such as electricity, water, gas, and internet should continue to be paid.
Insurance Premiums: Homeowners insurance, auto insurance, and any other necessary coverage should remain active to protect estate assets from loss or liability.
Ongoing Medical Bills: Medical expenses incurred before death are considered valid debts of the estate and should be paid from estate funds, not by family members personally.
Funeral and Burial Costs: These expenses are typically given priority and paid directly from the estate.
What About Credit Card Debt and Personal Loans?
Credit card balances, personal loans, and other unsecured debts are generally paid from the estate, but family members are not personally responsible for these debts unless they were co-signers or joint account holders.
It's important not to pay these bills from your own funds. Instead, the executor or personal representative of the estate should handle these obligations using estate assets. If the estate doesn't have sufficient funds to cover all debts, state law determines the order in which creditors are paid.
Can You Stop Automatic Payments?
Yes, and you should. Contact banks and credit card companies to stop automatic payments and subscriptions. You'll need to provide a copy of the death certificate to close accounts properly. This includes streaming services, gym memberships, phone plans, and any recurring charges.
What About Joint Accounts and Co-Signed Debts?
If your loved one had joint credit cards, co-signed loans, or jointly owned property with debt attached, the surviving account holder or co-signer remains responsible for those obligations. Joint debts do not simply disappear after death.
Beware of Debt Collection Scams
Unfortunately, some unscrupulous debt collectors may try to pressure family members into paying debts they don't legally owe. Remember: you are not personally liable for your loved one's debts unless you co-signed or were a joint account holder. If you're unsure about a debt claim, consult with an attorney before making any payments.
Working With the Estate's Personal Representative
The executor or administrator of the estate is responsible for identifying all debts, notifying creditors, and paying valid claims from estate assets. If you've been named in this role, it's wise to work with an experienced Laurens County probate attorney to ensure you're fulfilling your duties correctly and protecting yourself from personal liability.
Get Professional Guidance
Navigating financial obligations after a death can be complex, especially when emotions are running high. If you're unsure which bills to pay, how to handle creditor claims, or what your legal responsibilities are as an executor or family member, we're here to help.
Contact us at 478-272-2885 to schedule a consultation at our Laurens County estate planning office where we can guide you through the process with clarity and compassion.