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William R. Noelker Law

How Are Estate Creditors Handled?

As part of the probate process, creditors are notified of the death. They must file a claim for the amounts due. If the claim is approved by the executor, the bill is paid out of the estate. If the claim is rejected, creditors must sue for payment.

If there are insufficient funds to pay debts, states have statutes of one kind or another establishing who gets paid first. Executors most likely will commence selling property to pay off approved creditor claims. Any claims remaining are pro-rated.

If you or a loved one is in need of legal assistance, call The Law Office of William R. Noelker at 1-859-236-0374 or submit an online questionnaire. The initial consultation is free of charge, and if we agree to handle your case, we will work on a contingency fee basis, which means we get paid for our services only if there is a monetary recovery of funds. In many cases, a lawsuit must be filed before an applicable expiration date, known as a statute of limitations. Please call right away to ensure that you do not waive your right to possible compensation.