Debt Collection from Family Members of Deceased Debtors

You might not expect to receive a debt collection call in which a collector is attempting to recoup a debt that is owed by a deceased relative, but it happens more often than you think. For instance, after a parent or sibling passes away, debt collectors still want to try to collect on any debts they owed and often turn to family members.
Is it lawful to try to collect a debt owed by a deceased person by contacting a close family member, or does this type of contact violate the Fair Debt Collection Practices Act (FDCPA)? More generally, what are the rules when it comes to debt collection practices from family members of deceased debtors? We have collated information to help answer these questions from an article on CreditCards.com and a fact sheet from the Federal Trade Commission (FTC).
You are Not Liable for the Debts of Your Deceased Family Members
The first and most important thing for family members receiving these types of debt collection calls to know is that they are not liable for the debts. To be clear, family members do not inherit the debts of their relatives, even if they inherit other property or assets from them. So, if your family member died with a significant amount of credit card debt, medical debt, or even secured debt from a mortgage or auto loan, that debt is theirs and not yours. Even if the surviving family member had a power of attorney for the deceased, this fact still does not mean that the surviving family member is liable for the deceased’s debts.
As such, unless the family member of a deceased person is a co-signer on a loan or has agreed through another type of contract to take on a debt, that family member is not required to engage with debt collectors about debts owed by the deceased. Does this make it unlawful for the debt collector to even make that call?
Surviving Family Members can Receive Debt Collection Calls Lawfully if Debt Collectors are Transparent About the Debts Owed
Just because a surviving family member is not legally responsible for a deceased relative’s debt does not mean that it is illegal for a debt collector to try to collect unpaid debt from a surviving family member. Indeed, just because someone dies does not mean that the debt goes away. The FTC issued guidance several years ago about how debt collectors can try to collect in these kinds of circumstances.
Debt collectors can lawfully try to collect from the estate of the deceased. If the surviving family member is responsible for resolving the estate as an executor or executrix, then that surviving family member may need to satisfy the debts owed, if possible. If there is not enough money in the estate to take care of the debt, the surviving family member is almost never responsible for it. This is especially true in Illinois, which is not a community property state (in community property states like California, a surviving spouse may be responsible for a deceased spouse’s debt).
Under the FDCPA, debt collectors are allowed to continue contacting family members of the deceased to collect the debt. However, they must be honest and transparent, and they cannot engage in fraudulent or deceptive debt collection practices. In general, the FTC clarifies that debt collectors can contact surviving family members to obtain any of the following information:
  • Contact information for the deceased’s surviving spouse;
  • Contact information for an executor or administrator of the deceased’s estate; and
  • Clarifying information about how to contact one of the parties listed above.
Surviving family members, however, do not have to engage with a debt collector.
Contact a Consumer Protection Lawyer in Oak Park
If you are being contacted or harassed by a debt collector over the debt of a deceased relative, you may have legal options. An experienced Oak Park consumer protection lawyer can help you. Contact the Emerson Law Firm for more information.
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