When a loved one passes away, it can be an emotionally taxing time for their loved ones. In addition to dealing with the grief of loss, many people are also left to navigate the financial responsibilities that their loved one left behind. One of the most common types of debt that people leave behind after they die are outstanding debts.
It is important to be aware of any outstanding debts and to make sure that there are sufficient assets to pay them off before making final distributions to beneficiaries.
It's also important to note that a Will only applies to assets that are owned by the testator at the time of their death. Debts that are outstanding at the time of death will typically be paid off using the testator's assets, but it's important to consult with an attorney or financial advisor to understand the specific laws and regulations in your area regarding the settlement of debts and distribution of assets through a Will.
Here is a list of 80 types of debts a loved one is often left to pay after a death:
- Credit card debt
- Medical debt
- Mortgage debt
- Auto loan debt
- Personal loan debt
- Student loan debt
- Payday loan debt
- IRS tax debt
- State tax debt
- Local tax debt
- Utility bill debt
- Cable bill debt
- Phone bill debt
- Insurance bill debt
- Rent debt
- Homeowners association fee debt
- Storage unit debt
- Gym membership debt
- Club membership debt
- Magazine subscription debt
- Internet service provider debt
- Retail store credit card debt
- Department store credit card debt
- Gas card debt
- Grocery store credit card debt
- Travel rewards credit card debt
- Balance transfer credit card debt
- Cash advance credit card debt
- Secured loan debt
- Unsecured loan debt
- Signature loan debt
- Installment loan debt
- Revolving loan debt
- Business loan debt
- Equipment loan debt
- Inventory loan debt
- Real estate loan debt
- Construction loan debt
- Development loan debt
- Bridge loan debt
- Hard money loan debt
- Mezzanine loan debt
- Venture debt debt
- Factoring debt
- Lease debt
- Equipment lease debt
- Vehicle lease debt
- Machinery lease debt
- Office equipment lease debt
- Computer equipment lease debt
- Medical equipment lease debt
- Aircraft lease debt
- Shipping container lease debt
- Office space lease debt
- Warehouse space lease debt
- Retail space lease debt
- Industrial space lease debt
- Equipment rental debt
- Vehicle rental debt
- Machinery rental debt
- Office equipment rental debt
- Computer equipment rental debt
- Medical equipment rental debt
- Aircraft rental debt
- Shipping container rental debt
- Office space rental debt
- Warehouse space rental debt
- Retail space rental debt
- Industrial space rental debt
- Service contract debt
- Maintenance contract debt
- Support contract debt
- Managed services contract debt
- Consulting contract debt
- Professional services contract debt
- Legal services contract debt
- Accounting services contract debt
- IT services contract debt
- Marketing services contract debt
- Advertising services contract debt
It's worth noting that this is not an exhaustive list and there could be more types of debts that exist. It's important to consult with a financial advisor or attorney to understand the specific types of debt that may apply to your situation.
