Unsecured Personal Loan on Death

jonesMUFCforever

A grant of probate is just that a grant entitling somebody to administer the estate of the deceased.

There is no such thing as a full probate.
Or do you mean a Grant of representation where there was no will?

nrushforth

I'll get the full details and post back.

Reason I am not too sure is that my fathers wife took care of all this.

Thanks for all the advice so far.

jonesMUFCforever

In that case should she not be dealing with this now?

rog2

nrushforth wrote: »

Looking for advice with regards an unsecured Personal Loan taken out by my father, who has recently passed away.

Will it pass to the family or will it be written off.

Many Thanks

Hi nr - Debt and Death is a very difficult, and often complicated, subject. You may find the following National Debtline link of some help:

http://www.nationaldebtline.co.uk/england_wales/factsheet.php?page=21_what_to_do_about_debt_when_someone_dies

You can, also, telephone them for specific advice on 0808 808 4000. They are a Debt Counselling Charity, fully endorsed by Martin Lewis, and their advice is professional, impartial and free.

Good luck

jonesMUFCforever

rog2 You do know that this thread was started in June 2006!

rog2

jonesMUFCforever wrote: »

rog2 You do know that this thread was started in June 2006!

I didn't realise, but I assume that the advice will be just as good today.

pa49

Is the demand for clearance of the debt from the original lender or from a DCA/solicitor acting for DCA. If someone has bought the debt without knowing the full details of your father's death and that probate had been granted in the full knowledge that the debt would not be persued then the executors would appear to have acted correctly in light of the available information. If this is the case then it could be a try-on!
It seems a little odd that this have been resurrected two years down the road, when the original lender would have known about your father's death at the time (were they informed?) and would have had ample opportunity to take whatever action they saw as appropriate. (i.e. file for repayment against any residual estate).
Ask for a copy of the original agreement as any legally responsible person is entitled to do, but, be aware that you could be involving yourself in matters that you are not legally obliged to deal with. Don't admit anything to anyone until you have verified your legal position with a solicitor. Can of worms and all that.
CAB may be able to help.

nrushforth

Thanks for all the advice thus far.

The loan amount for repayment has been requested from Phillips & Cohen. The original solicitors dealing with the loan were Jeremy Sutcliffe & Co, appointed by the Yorkshire Bank. I called them and they informed me that it had been passed to Phillips & Cohen.

Phillips & Cohen have now sent a letter requesting for the loan to be repaid, albeit, an amount less than the amount outstanding on my Fathers death.

When my father died he had very little in savings < £200. His wife was granted informed all interested parties that he had deceased, the bank included, which is why Jeremy Sutcliffe & Co were involved. They requested evidence to support his fincanial status upon time of death. This was supplied and after consulting with them we were under the impression it had been written off.

The house transferred to my fathers wife. Are Phillips & Cohen trying it on?

If you need anymore info post back.

mightymouse

Hi

It used to be the case the joint tenants were not considered as part of the estate for debt purposes, but several court cases have over turned this interpretation and creditors can claim from the house value even in a joint tenancy.

'Joint tenants'

In this case you owned the whole property together and the deceased person's share passes automatically to you.

But even though it's now in your estate, you can't ignore the debts.

Creditors can apply for an 'Insolvency Administration Order' within five years of the death.

This can have the effect of dividing the property in two and force a sale.

It's in your interest to try to come to an agreement with people who are owed money, and try to pay them yourself.

pa49

When any debts are left upon death they should be dealt with by the executors of the estate of the deceased. They do not need to be paid, but they do need to be satisfied and I believe you could argue a case that the previous solicitors had conceded satisfaction of the debt and throw that at the new solicitor's.
If you get any flack ask for a signed copy of the original CCA (the agreement) and for copies of all documentation authorising the collectors with regard to the debt.
This technically should be requested by the executors and that's why I asked whether you are legally responsible for dealing with this matter.
I smell a try-on!!!!!!!!