She died in 2015, and supposedly the interest will be about $20, give or take. I’ll keep all records though and hand them in to my accountant next year.
Maybe I should have used the word “assets” instead of “funds” as the latter has a more liquid connotation to it. However, my original point still stands; if the estate has more debt than assets, you as the decedent’s relative have no obligation to make those debts whole (baring your previous involvement with them - cosigning the loan, etc.). You can’t be obligated to take on others debts & their implication that you must is false & misleading.
You’re point would hold true if Mom was paying the mortgage, which is a secured loan.
To follow up on the story, I sent back the notarized information two weeks ago and received a check in today’s mail, for $918.88. So a nice and unexpected little dividend.
I learned the actual named beneficiary was my father, but he died many years before she did. Dunno know what that loan business was all about, but I feel this may have been taken out long ago and then forgotten. There is little doubt that if she thought I might benefit from something like this, then she would have canceled it or cashed it in or whatever you do with these policies.
I meant the insurance policy taken out long ago and then forgotten, not the loan. Although if there was money owed on a loan, maybe it was not forgotten. I suppose I’ll never know.
Bumping this thread, because it happened again! Or at least similar. Last month, I received a letter from MassMutual saying I owed about $25 on a payment toward a loan on a life-insurance policy. After checking this out thoroughly to make sure I was not being scammed, it turned out my father took out a life-insurance policy on me right when I was born. I never knew about it. Thirty years ago, just a few years before he died, he borrowed $500 on it. I did not understand the details, but it seems the … dividends? … covered the repayments until this last one, about $25. How they found my current address, I have no idea, but I guess they have their ways.
If I had died, my father would have been the beneficiary. He died last century, so my mother would then be the beneficiary. She died a few years ago. So I guess I could have made my wife the new beneficiary. But I asked MassMutual how much she’d get if I died, and they said $2000.I guess $2000 was a lot more money back in the 1950s when the policy was taken out. Today, it barely covers one month of our Waikiki rent. And I have other life insurance, so I “surrendered” the policy, and this week I received $1400 from them.
So thanks, Dad. Gee, are there yet more insurance policies floating around out there that I’ve never heard of?