QUESTION
What happens to a car loan for a recently deceased person?
Asked on Aug 07th, 2011 on Estate Planning - Georgia
More details to this question:
What happens to a car loan for a recently deceased person who does not have a co-signer, will, estate or power of attorney? I make the payments but the loan is not in my name.
3 ANSWERS
Business/Commercial Attorney serving Centralia, WA
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Olson, Althauser, Samuelson & Rayan, LLP
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The lender becomes a secured creditor of the Estate. You either assume the loan if they will allow it (not likely) or you sell the vehicle and pay it off. If you can do neither, you can return the vehicle as a voluntary repossession. It must be accounted for through the probate process.
Answered on Aug 08th, 2011 at 4:25 PM
3 Awards
The loan may be secured to the car. From the e mail I am unable to tell. A review of the current title will help you determine the status. The question posed is not simple, but part of a more complex question. Necessary legal steps are needed to be taken to transfer the car and loan to a co-owner if any, or if there is no co-owner, then the asset (car) will need to be addressed pursuant to the Nevada probate code. Depending upon the value of the Decedent's assets, not just the car, this may require a probate court filing. You should either consult an attorney or review the forms available at the self help center at the courthouse to see if you can address the issues without the assistance of an attorney or whether the assistance of an attorney is necessary.
Answered on Aug 08th, 2011 at 2:29 PM
Glen Edward Ashman
Depending on details you didn't give us there may be several ways to transfer the car. See a lawyer as to which is appropriate.
Answered on Aug 08th, 2011 at 2:28 PM