 TITLE: Can You Inherit Debt? CONTENT: What Kinds of Debt Can Be Inherited?\n------------------------------------\nWhile individual debts typically aren't the responsibility of those left behind, some types of debts may be inherited when someone dies. If your loved one passes away and their estate doesn't cover all of their outstanding debts, you could be responsible in these situations:\n*   **Joint and cosigned debt**: If you were on a joint account such as a joint credit card with somebody, and they die, you as the remaining account holder will be responsible for paying the debt. Authorized users, however, typically are not responsible for credit card debt, according to the Consumer Financial Protection Bureau (CFPB).\n*   **Debt in community property states**: In some states with community property laws, a surviving spouse may be required to pay some of their deceased spouse's debts with community assets. Community property states are Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington and Wisconsin; Alaska allows spouses the option to make their property community.\n*   **Home equity loans on inherited homes**: If you inherit a home from a loved one when they die, and they had a home equity loan on the property, you unfortunately also inherit that debt.\nWith other types of debt, it depends. For example, if your parent or spouse dies with medical debt, their estate's assets will go toward paying it off. If the debt exceeds the assets, the creditors may just write off the debt, meaning it doesn't have to be paid. But if you cosigned on medical bills or live in a community property state, you could be on the hook for their medical bills. Some states do have laws on the books that make adult children financially responsible for their parents if the parents can't afford to support themselves. These laws are not usually enforced in terms of medical debt, however, since Medicaid will often cover it.\nCredit card debt is similar, in that it depends on the circumstances and where you live. If you and your loved one had a joint credit card account or you were a cosigner on a loan, you likely will be responsible for the outstanding debt. If it was an individual account, you may owe nothing—unless you live in a community property state, in which any debt incurred during marriage is considered joint. If you're not in a community property state and you weren't a cosigner or joint account holder, you shouldn't inherit their credit card debt.\nAgain, laws vary by state, so make sure to check the laws where you live or hire an attorney to help you understand your debt obligations. END