Compare Mortgage Quotes

Refinance Rates for Today

Please enable JavaScript for the best experience.

In the mean time, check out our refinance rates!

Company Loan Type APR Est. Pmt.

Compare Refinance Mortgage Quotes

legal responsibilities of deceased cosigner on private student loan...my father cosigned a private student loan with a granddaughter. he died in may and the loan will come due in dec. does his estate have any responsibility to repay this loan

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

My girlfriends mother cosigned for my loan for a home, I make all of my payments on time .My credit is very good.She is dying and consuming a lot of hospital bills. She has not enough money to pay all of her bills . she is on social security and disabilty. Can the estate or her adult children after her debt take my House?

Like | Dislike | Share | Posted: Wed, 11/14/2012 - 05:00 | Post subject:

smith.sussane's picture
smith.sussane | Joined: September 18, 2008 09:57 pm | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi Joshua!

Welcome to forums!

Is she on the property deed? If no, then you don't have to worry. If she is not on the deed, then she is not one of the owners of the property. In such a situation, neither her creditors nor her heirs will be able to come after your property.

Feel free to ask if you've further queries.

Sussane

Like | Dislike | Share | Posted: Sun, 11/18/2012 - 21:35 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

My sister passed away and left her home to my brother & I. She had a cosigner on an equity loan that was not on the title of my sister's home. The cosigner is now saying my brother & I are responsible for the equity loan. Are we responsible for the loan, can the property be taken or does is the cosigner responsible. The cosigner will receive $50,000 for the house and also inherited money from another estate, so she does have the money to pay the $16,000 equity loan. My sister's estate did not have any cash value in it. The property is in New Hampshire. Thank you for your help.

Like | Dislike | Share | Posted: Sun, 04/22/2012 - 06:15 | Post subject:

jerry's picture
jerry | Joined: October 17, 2005 03:24 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi mike,

Your query has been answered in the given page: http://www.mortgagefit.com/Mortgage-Basics/Responsibility-of-Cosigner-of...

Take a look at it. I hope it will help you.

Thanks,

Jerry

Like | Dislike | Share | Posted: Thu, 04/26/2012 - 03:53 | Post subject:

gmakerley's picture
gmakerley | Joined: November 9, 2007 07:36 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

i don't believe i have ever heard of an estate being held responsible for a debt cosigned before.

it would be rather absurd and perhaps even a heinous act for the lender to seek repayment from an estate in the event of default. not only that, but the obligation wouldn't even go into default until well after the death, to begin with (if ever).

Like | Dislike | Share | Posted: Tue, 11/11/2008 - 10:33 | Post subject:

jerry's picture
jerry | Joined: October 17, 2005 03:24 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

Hi mtbm!

It is the primary borrower's responsibility to pay off the loan. A co-signer's responsibility is pay off the debt only when the primary borrower is unable to do so. You have mentioned that the co-signer is dead. In that case, the primary borrower (grand-daughter) is liable to pay off the debt. In case, if she fails to pay it off, neither the deceased co-borrower's estate not his heirs will be responsible to pay it off.

Thanks,

Jerry

Like | Dislike | Share | Posted: Wed, 11/12/2008 - 02:30 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

If the borrower is deceased is it the the coborrowers responsibility to pay the loan. Loans in question, mortgage and [url=http://www.mortgagefit.com/home-equity.html]home equity loan[/url].

Like | Dislike | Share | Posted: Mon, 06/15/2009 - 08:02 | Post subject:

gmakerley's picture
gmakerley | Joined: November 9, 2007 07:36 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

yes, brenda. when a person cosigns a loan, that person becomes fully obligated to make payments. it is not simply a back-up plan for a primary borrower neglecting to make payments. that's how we as a society treat it, yes; but truly a cosigner is just as liable as a borrower. in the instance you cited, the only remedies are to sell the home or to have the cosigner make payment.

Like | Dislike | Share | Posted: Mon, 06/15/2009 - 08:24 | Post subject:

Anonymous's picture
Anonymous | Joined: June 8, 2004 01:06 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

I am in a similar situation as the person at the start of this thread. My grandfather cosigned private student loans for me. So as the answers to this thread state, I should be the sole person resposible for paying of these loans. Will anything happen in probate due to these debts? How should I tell my lenders if at all that he died?

My other question is on the promissory note it says, the loan will go into default and the whole amount of the loan will be due if I or the cosigner dies...does that mean I will have to pay the whole amount of the loan upfront because my cosigner died? Or is it when we are both dead (and just FYI I have plenty of life insurance for this reason!)?

Please help! Thank you

Like | Dislike | Share | Posted: Sun, 07/19/2009 - 08:48 | Post subject:

gmakerley's picture
gmakerley | Joined: November 9, 2007 07:36 am | Posts: 0 | Location: New Jersey | 00 Dollars($)

katrina, you obviously won't have to worry about this debt at all when your time to meet your Maker comes, so don't worry about it now, either.

regardless of that payable on death clause in your note, don't concern yourself with that, either. if you maintain payments, they'll never demand payment in full all at once.

you asked, "how should i tell my lenders if at all that he died?" - again, nothing to concern yourself with. if they ask you, i suppose you could make mention, but they won't ask you. the probating of his estate ought not to be a concern either.

Like | Dislike | Share | Posted: Mon, 07/20/2009 - 07:37 | Post subject:

Page loaded in 0.232 seconds.