Today we want to raise a very important topic. Should the children pay for parent credit, in case of non-fulfillment of their fulfillment of their obligations to the bank?
We will help you to figure out what situations it is legally, and which is not.
If an adult child does not act as a guarantor or coacher, then the state does not have the right to write off funds to paying the loan, if the parent does not fulfill its obligations to the bank partially or fully.
However, there are another side of this issue, where it is completely on legal grounds to write off the amount of money may occur. For example, if an adult child is a coacher or guarantor from his parent. In this case, the child is fully responsible to the lender and in case of non-payment by the parent of money under the Agreement, the Bank has the right to hold funds from the child to paying the principal debt and interest on the loan. The only good moment in this case is that after paying a loan, an adult child can file a lawsuit against compensation for incurred costs, and thus return the cash spent.
If we are talking about the late parent, then the legislation speaks on the side of the bank. The legal heirs who have entered into the rights of inheritance, after the death of the parent receive not only objects of property, but also responsibility for the payment of dedication of the late. It is important to note that in this situation the bank does not have the right to recover the amount of the value of the property received from each heir, as well as increase the amount of the principal debt and accrual large interest. Thus, at the time of the death of the parent, the amount of debt is fixed and does not grow.
This situation is not considered hopeless. The child can always give up inheritance, thereby having deprived himself the responsibilities for the payment of the debts of the late parent. Sometimes it is even more profitable than to enter into inheritance, because its cost will be at times less than the amount of debt. Unfortunately, a partial refusal of inheritance is not provided for by law, that is, you can or accept it with debts or refuse completely.
It is worth entering the way you are profitable, before that fully appreciating the situation.
What if collectors demand to return parents’ debts, applying threats by phone or even physical violence?
The main thing you need to remember is that you are not responsible for the loan of your living parent, if you are not a coacher or guarantor. Therefore, you should not worry about the threats from the collectors, since they don’t even talk right with you on legal grounds.
You can also apply to such organizations to the prosecutor’s office, while putting audio recordings or written evidence of their illegal actions.
We hope our material was useful for you.