Hi Wilfred, I would like to know if children and wife are liable for father/ husband's debts (both bank loans and credit loans)? Both of the children and spouse did not co-sign any debts for him. However, the wife has used some of the savings from household money to pay debts for him. Are we actually considered liable even after his death?

Answer:

The theoretical answer is that you and children are not liable for your husband's debts if you are not the guarantor nor a co-borrower.

The practical answer is that you are still liable. Reasons are:

If the house is foreclosed (assuming he is the co-owner or sole owner) - all family members living in there have no where to stay.

If your husband gave you any gift or money within the last 5 years, these gifts will be clawback from you although these assets are already in ...