Who pays credit card debt upon death?

sitstill

My dad passed away earlier this year and when he did, he owed €3000 on a credit card to AIB. He had owed a lot more put had been paying it steadily until he passed away suddenly. The credit card was in his own name and had nothing to do with my mother although they did have a joint current acount with AIB.

The bank now says that she has to repay the cc debt in full and that they can just take it from her account. He left no will as the death was sudden and only had about €1000 in the bank as the both were OAPs.

Does she have to repay the debt?

percy212

Wow. She should close the bank account immediately and withdraw all her funds for that threat. Open one in another bank. Make a couple of payments to the cc debt while moving to another bank, then let them **** off. If they threaten legal action pay a euro a month.

[This is what I would do myself...maybe a visit to the local TD might be in order for your mother].

coylemj

OP, if your Dad died with no will then there are rules as to how his estate will be divided as he died intestate, basically your mother gets two-thirds and the remainder is divided amongst his children with children of deceased children sharing their deceased parent's share.

http://www.irishstatutebook.ie/1965/en/act/pub/0027/sec0067.html#sec67

To answer the question posed in the title of the thread, the debt is owed to the bank by your father's estate, it does not die with him.

sitstill

Thanks for your answers. So that means my mum is liable for the debt. He had no assets or estate to distribute and we barely have enough to cover the funeral as it is so I'd like to see how AIB expect her to pay it from a Widows Pension.

homer911

As your father died intestate, one of the beneficiaries of his estate will need to apply for a grant of administration

http://www.probate.ie/probate00.html

Some useful information here on settling debts:
http://www.citizensinformation.ie/en/money_and_tax/personal_finance/debt/debts_after_death.html

If a person dies without assets, the debt dies with them.
The executor/administrator is responsible for the debt, not any beneficiaries

Have you applied for the funeral grant?

Is there no car or house involved?