Don't Get Conned Into Paying the Debts of the Deceased

Perhaps nothing is as troubling as receiving a call from a debt collector about a bill that belonged to a loved one that just passed away. But the reality is that a debt collection agency will continue to try and collect on a debt after death - regardless of how painful it is. If you're recently lost a family member, and don't understand how to deal with the debt collector, here are a few tips.

Determine Whether or Not You're Responsible

Every state has different laws about the deceased, debt included. If you are a surviving spouse, there's a good chance that you will have to pay the debt, depending on the circumstances. For instance, if you took out the loan or the credit card jointly - meaning that you both signed for it - then you'll still have to pay it. But, if your spouse had an account under his or her name only, then no matter what the debt collector says, you're not obligated to pay it.

The same holds true for the children of the deceased - debt that you co-signed for, or were listed as a joint owner of, you'll still have to pay, but the children of a deceased parent who weren't directly involved in the debt are under no obligation to pay.

Direct Them to the Proper Person

When a debt collection agency calls about debt after death of a loved one, you should direct them to the appropriate party. The deceased likely left an estate, and the executor of that estate is the person that any debt collector should speak to. The creditors of the deceased will be paid from the estate before any others, and the executor will have to work out the arrangements.

If you're not involved as the estate's executor, tell the debt collector that you're not the person that they need to talk to and instruct them not to call you again. If they continue, they're in violation of the Fair Debt Collection Practices Act, and can be sued in a court of law for each violation.

Know Your Rights

Unfortunately, a debt collection agency may see the death of a loved one as the perfect opportunity to try and collect on a debt that they don't legally have the right to collect. There are many stories - for instance, one debt collector appealed to a surviving spouse to honor the name of her deceased husband by paying off his debts. These callous practices may be abhorrent, but are carried out every day on relatives of the deceased. Debt must be paid, but it's usually done so by the estate of the deceased-not the surviving relatives.

If you're being harassed by a debt collector about a debt after a loved one's death, refer them to the executor of the estate, and if they continue to call you, tell them that they're in direct violation of the Fair Debt Collection Practices Act. If that doesn't make them stop calling you, contact an attorney and ask about filing suit against them.