what happens to credit card debt when you die?

What happens to credit card debt when you die is a question that may seem difficult to answer. The last thing you want to do is leave your heirs with unwanted liability from unpaid credit card debt.

Here is the first thing to know – your creditors can’t pursue credit card debt payments after your death. However, never think that death is the ultimate solution to credit card debt relief. 

Stop Using the Card – First, do not incur more debt, even with an authorized user. It is considered fraud if you are not the primary user.

What To Do After a Cardholder’s Death

After your death, your assets are used to repay your credit card debt. Then, the remaining assets are distributed to your heirs. 

How the Creditors Are Paid Back

That means that your estate is insolvent. In this situation, your heirs may have to repay your credit card debt. However, it depends on several factors.

What If You Owe More Than the Sum of Your Assets?