What happens loans/credit cards/ mortgages with dead people

Specialun

Question which came into my head today

Aint Eazy Being Cheezy

Bank holds onto the corpse 'til they're paid

A personal loan may cease when the person dies, but mortgages are usually secured and also are supported by life assurance which kicks in to pay off the balance when the person dies.

Tin Foil Hat

You're not allowed to have a mortgage unless you also get enough life insurance to cover it. So that will be paid.

Tony Beetroot

God takes over the finances.

Cold War Kid

Tin Foil Hat wrote: »

You're not allowed to have a mortgage unless you also get enough life insurance to cover it. So that will be paid.

Or mortgage protection.

Tin Foil Hat

Cold War Kid wrote: »

Or mortgage protection.

That's a different thing. That will pay your mortgage for a time if you are unable to - through illness, for example. Mortgage protection is optional. Life insurance is not.

donegaLroad

The word “mortgage” comes from the French “mort-gage”, which means death-pledge. The French peasants worked until they died for the privilege of owning a house....

wendell borton

Those without coin to pay the ferryman to cross the river styx will be bound to wander the shores for one hundred years.

anncoates

Isn't life insurance mandatory for mortgages?

Edit : sorry, saw previous posts

I assumed credit cards would be written off and mortality rates would have factored in somewhere

NachoBusiness

Congratulations on the job in the old folks home, OP.

The_Valeyard

Faking your death doesn't count OP.


Don't use a canoe or claim memory lose.

donegaLroad

wendell borton wrote: »

Those without coin to pay the ferryman to cross the river styx will be bound to wander the shores for one hundred years.

and if you paid him too early, your soul could get dumped into the river Styx, as in the Chris de Burgh tune

Capt'n Midnight

donegaLroad wrote: »

The word “mortgage” comes from the French “mort-gage”, which means death-pledge. The French peasants worked until they died for the privilege of owning a house....

Actually French peasants have to pay even after they are dead.

http://anson.ucdavis.edu/~wang/calment.html

Jean Calment came from a bourgeois family and never has to work. Her husband, a cousin, was a prosperous storeowner who offered her a life of ease revolving around tennis, bicycling, swimming, roller skating, piano and opera. In later years, Calment lived mostly off the income from her apartment, which she sold cheaply to a lawyer when she was 90. Andre-Francois Raffray, who apparently relied on the actuarial table, signed a contingency contract with Calment and agreed to pay a life annuity of 2,500 francs ($500) a month under a deal to make him the owner of Calment's flat when she dies. Yet, he died at 77 and his family was still paying for more than a year unitl she died. Altogether, they paid more than 900,000 francs ($180,000), three times the value of the house.

She lived on to 122

Specialun

So if somebody loaded has a big loan out for a 75k sports car, if the owner dies the wife/husband keeps the motor while the car loan is wrote off

Specialun

Specialun wrote: »

So if somebody loaded has a big loan out for a 75k sports car, if the owner dies the wife/husband keeps the motor while the car loan is wrote off

I would think the car itself is the security on the loan so if the survivor did not pay it could be repossessed