What happens to your debt when you die in Illinois?
What happens to your debt when you die in Illinois?
In Illinois, the deceased person’s family is not responsible for their debt – but their estate is. The Fair Debt Collection Practices Act (FDCPA) says, “family members typically are not obligated to pay the debts of a deceased relative from their own assets.
Who pays your hospital bills when you die?
In most cases, only the estate is responsible for your parents’ medical bills after they’ve died. In very rare instances will you need to cover these expenses yourself. If you’re the executor of your parents’ estate, it is up to you to pay these medical expenses with funds from your parents’ liquid cash and assets.
What happens financially when you die?
The process of paying your bills and distributing what’s left is called probate. The executor of your estate — the person responsible for dealing with your will and estate after your death — uses your assets to pay off your debts. If there isn’t enough to cover your debts, creditors generally are out of luck.
