Credit Card Debt After Death - For the Secondary Card Holder

broken_man

Hello everyone

Sadly I learned yesterday that my mum has terminal Cancer of the Lung and Throat. She is not expected to live longer than a year, if that.

She banks with Halifax and holds a 'One' credit card. As I was declared Bankrupt in 2003 and cannot obtain credit until 2009, I have always used her credit card account as a secondary card holder. So much so, that she has never personally even used the credit card. I am the only one to have used the account as a secondary card holder for over three years. I have managed the account with great care and she has a superb credit record.

Questions:

1) Will the debts be absolved with her death? I am NOT a joint account holder, merely a secondary card holder?

2) She has no estate to speak of, and certainly no assets or savings to her name. Can they chase me (her son) for the credit card debt?

3) Do they have any way of knowing that all purchases have been made via the secondary card holders card only?

Any advice greatly appreciated.

CannyJock

Not an expert on this by a long shot, but as far as I know:

1) They won't be absolved, the debt will pass to the estate to be repaid
2) Next of kin have no liability for a parents debts AFAIK, the liability is passed to the estate. If the parent had created debt to accumulated assets and passed these assets to the next of kin in advance then these are subject to inheritance tax and I think there's a precedence for this being pursued in this specific situation.
3) Secondary card holders aren't liable for the debt in any event, it's the primary card holders responsibility.

Hopefully others will come along in the morning and correct or add to this, but as part of the "working way too late at night" crowd, that's my thoughts.

broken_man

thank you for the reply.

We live in a local authority property, and she has no other assets or savings. Therefore, she really does not have any estate, apart from household furniture.

WYBMADIITY_2

In which case, creditors will have no assets to chase to settle the debt. Contrary to popular belief, secondary card holders and family ARE NOT liable for family members debts, they can only be legally claimed from the deceased persons estate.

However, fully expect to be chased vigorously and made to feel like the devil incarnate by any credit companies involved....most of them are renowned for chasing people in these circumstances who are subject to grief and don't know their consumer rights.

If you suffer any harassment from any companies at all, come back here to ask advice before you proceed any further.

The warmest of wishes and best of luck to both you and your mum

Bismarck

I'm very sorry to hear your news.

The other posters have covered the points you raise well. I suspect that they could trace which card was used on the account and trace that back to you if necessary in this wonderful age of technology but it wouldn't make any real difference.

Not sure if deliberately spending up to the hilt is a wise move though, if that's what you had in mind.....

bethanyrayne

broken_man wrote: »

Hello everyone

Sadly I learned yesterday that my mum has terminal Cancer of the Lung and Throat. She is not expected to live longer than a year, if that.

She banks with Halifax and holds a 'One' credit card. As I was declared Bankrupt in 2003 and cannot obtain credit until 2009, I have always used her credit card account as a secondary card holder. So much so, that she has never personally even used the credit card. I am the only one to have used the account as a secondary card holder for over three years. I have managed the account with great care and she has a superb credit record.

Questions:

1) Will the debts be absolved with her death? I am NOT a joint account holder, merely a secondary card holder?

2) She has no estate to speak of, and certainly no assets or savings to her name. Can they chase me (her son) for the credit card debt?

3) Do they have any way of knowing that all purchases have been made via the secondary card holders card only?

Any advice greatly appreciated.

Sorry to hear about your mum, really, my mum died of Ovarian cancer in 2006 at the age of 80. Hospital said it was called the silent killer, I said it was only silent because no one was listening. Her doctor diagnosed her with gastroenteritis.

Anyway, max out the card before her death and give her a good send off. They cannot come after you for the debt 100% guaranteed!

EDIT: I would ask your mum if she was happy carrying this debt to the grave with her.