Are siblings responsible for siblings debt?

Generally speaking, while you are alive, your relatives are not responsible for paying any debts you may have incurred. Also, if a loved one cosigned for a debt, all bets are off. Once you don’t pay what’s owed, any individual who cosigned is legally obligated to pay whatever is due.

What are the liabilities of being a power of attorney?

A durable power of attorney authorizes an agent to take action on behalf of the principal. The agent does not become liable for the debts of the principal merely by virtue of acting as the agent under the power. However, agents must always be careful to act only in a representative capacity.

Can you inherit debt from your siblings?

In most cases, an individual’s debt isn’t inherited by their spouse or family members. Instead, the deceased person’s estate will typically settle their outstanding debts. In other words, the assets they held at the time of their death will go toward paying off what they owed when they passed.

What happens to someone with power of attorney when they die?

But while someone with power of attorney is responsible for major decisions on your behalf – like where your belongings go after you die – there are some things they aren’t responsible for, including much of your debt. What happens to someone’s debt when they die?

What happens when one sibling has a power of attorney?

When a parent names only one child to be the agent under a power of attorney, it can cause bad feelings and distrust. If you are dealing with a sibling who has been named agent under a power of attorney or if you have been named agent under a power of attorney over your siblings, the following are some things to keep in mind:

Can a power of attorney make you liable for her debts?

Dear Patrice, No, signing for your mom’s bills in the capacity of power of attorney absolutely does not make you liable for her debts. You do need to be careful, however. For most adult children, no one is ever going to check up on your expenditures while you’re taking care of your own mother.

Is there any responsibility for a deceased sibling’s debt?

She had several significant debts. Is there any chance her creditors are going to come after me or her other family members for those? Answer:Unless you entered into an agreement as a co-borrower or guarantor of your sister’s debts, no, you do not have any responsibility for a deceased sibling’s debt.