Can I write off my inherited debt following my dad's death?

flumps

Hi,

I'd really like some help...

My dad died just over a year ago. He was retired, unmarried and I'm his only child, so I'm the sole beneficiary of his estate. He banked with Lloyds and had one account and a loan with them.

I filled in all the forms and provided the relevant evidence, and once the final figures were offset against each other, there's an outstanding debt of roughly £3,500.

He didn't have PPI so I'm wondering if I need to pay off the debt? I'm finding mixed information online - some sites say the debt should be written off, some say I should inherit it. I've tried contacting my local Citizens Advice office but they are always too busy to take my query.

Lloyds are constantly sending me letters saying the debt needs to be settled.

What can I do?

Thanks,
Heather.

System

You do not inherit debts. If the assets (this includes property) are insufficient to pay off the debt then the creditor should be informed of this.

RAS

You do not inherit debt.

If the account is insufficient to pay off the debt it is tough for Lloyds, unless there are other assets in the estate.

Have you written to lloyds and confirmed that there are no other assets that can be sold to pay the debt?

flumps

Thanks for the replies.

I didn't know I needed to write a letter. Do I just need to confirm that there are no other assets in the letter? Do I need to include any other details or evidence of that?

brightonman123

as above. if its unsecured debt (not mortqage or car loan etc), the bank has to take the loss. See the CAB for best way to proceed

flumps

Thanks very much everyone. I'll write a letter and see what happens. No doubt it'll take them a fair amount of time to get back to me.

Fire_Fox

Has absolutely everything in his estate been liquidated including any watches, jewellery or ornaments? Unfortunately the lender may take the view that these need to be sold to pay a little more of the debt because they all form part of his estate. Other than that the debt will have to be written off.

Miss_Havisham

Fire_Fox wrote: »

Has absolutely everything in his estate been liquidated including any watches, jewellery or ornaments? Unfortunately the lender may take the view that these need to be sold to pay a little more of the debt because they all form part of his estate. Other than that the debt will have to be written off.

but if there is something you'd like to keep for sentimental reasons you could "buy" it from your Dad's estate at the market rate.

Good luck getting it sorted.

Miss H

flumps

He honestly didn't really have anything of value. No notably jewellery or anything. I'm a little worried the bank won't believe me now but I'll write a letter and we'll see what happens.

Thanks everyone.