Convoluted story but I need some advice because, well, I have no idea what to do and it's really stressing me out. I was an AU on my momâ??s card. She passed away in October of last year, leaving a balance, which Iâ??ve been paying on since (because I did use the card after her passing and I feel responsible for what I owe). This month when I logged on to pay (I have used the card a few times since her passing and was paying on it partly on her behalf and partly because I had used it a few times over Christmas myself) I was shocked to find out that the minimum payment had DOUBLED, and the interest rate went thru the roof! I didnâ??t know why, I freaked out, and I took myself off the account as an AU (and notified the credit bureaus who have removed this account from my report). Here I found out, after another Citi company called, she had another card that I did not know about that obviously went into default after her passing and has affected this account as well. So now this account is in shambles because I could only afford to pay ½ of the new minimum balance due, so there are now fees accruing and the minimum payment is like a freaking mortgage payment! Itâ??s not in my name, Iâ??m removed from the account, yet, I donâ??t know what to do. I want to pay what charges I made as the authorized user, but no more. What can I do? I feel like if I tell them sheâ??s deceased as of Oct. 07, and since payments have been made monthly since then, theyâ??ll try to somehow get me to be legally responsible. I can NOT afford to pay that much on that card for the balance, but I was trying to still pay what I owed on the card, because thatâ??s the right thing to do. But I feel like they're going to come after me for "fraud" or something because I have internet access to her account and removed myself as an AU because of it reflecting poorly on my credit, when obviously SHE didn't remove me...and I think it's the primary card holder that's supposed to do that, right? Bleh. At this point, what should I do to make this right and get it resolved? Thanks for any insight anyone may have.
First, no one will come after you for fraud. You were an authorized user, so you're okay. However, who is handling your mother's estate? Somebody had to be in charge of all the matters around your Mother's passing. The "executor" of the estate should have been handling these matters. Is there a sibling who was handling these matters? They cannot come after you as she was responsible for the account. But someone should be looking into this, as this signals other problems with the estate.
Thank you so much for your response. I am quite stressed out about this whole thing! As for an "estate," she was a housewife her entire life - there is no estate to speak of. My father, her husband, is still alive and there are no siblings. He had nothing to do with either card. We don't live in a community property state. How I found about about the other card was when the other company called my # asking for her. I said she was deceased. They asked for the date and county, which I gave them. The rep then said, "I will update our records and I'm sorry to bother you, and sorry for your loss." I've not heard from them since.
Biz, I would be more hesitant to say such. When the owner of the account passed, and there was no one with financial responsibility for the card - Citi should have been notified, and the account closed. While the OP is probably not responsible for any balance on the date of her passing, they might have a good argument for any and all charges made afterwards. That is not to say that Citi will ever even bother to attempt to collect it...
jlynn, I understand your point here, but I was first addresing the "fraud" issue. I definitely do not think they would come after her for fraud. As to liability for charges made after her mother's passing, the responsibility still goes back to her Mom's estate. Both the responsibility to close the account, and for any charges made for not closing the account in a timely fashion. A HUGE question here was if there were any insurance on the account. Some people do take out the insurance which pays off the balance in these situations. This may be a "non-issue". Unfortunately, this falls back upon her father to handle, as the surviving spouse. He may not be legally liable for the debt (personally), but if he is handling the estate, then he has some liability to handle the affairs. The OP does need to make sure her father is handling all the affairs properly. These situations are never easy. I'm currently helping a family member who is the executor of an estate, so I can appreciate all that's involved.
I am definitely paying those charges off myself, being that I am not trying to avoid what I know I've charged ($700 charged, $400 paid off) as an AU on the card - I don't feel right not settling that portion...but that portion only. There was no such insurance. My father is in his early 80's and there really is no "estate" to speak of. Both he and I are totally clueless (obviously, at least on my part) regarding such matters, unfortunately.
Biz, I've been there too, as an Administratrix. Talk about fun when there is no will... OP - don't confuse the term "Estate" to meaning only if the deceased had money/property/valuables. Estate includes ALL of the affairs of the deceased - including outstanding debts. Your father is elderly, and probably mourning, and you may have to take control. You need to find out any cc's she has, and notify them of the death - some will want a death certificate. Any outstanding bills, such as medical bills, needs to be notified - my experience was that most just wrote them off as opposed to spending the money to see if there is money. Items such as car titles, home, etc., anything that might have had your Mom's name on it needs to be cleared up... You and/or your father would be wise to consult with a Probate Attorney to determine what you need to do, according to your mother's state of residence (Estate laws vary tremendously). I wasn't accusing you of intentional fraud in using the card - I merely was looking at it from a creditor's standpoint. You need to close those cards.
Good point to add jlynn, ian estate is not just about assets, it is about all the affairs of the deceased. There is a lot that has to be done, right down to magazine subscriptions. As an example, I'm sorting out "two layers" right now, w/an executor. The recently deceased had checks for dividends from stocks which were for a person who died previously(and this person was the executor)!
