I know there are already threads like this and I've already read through them, but I was hoping some of you lovely people would give advice on my specific situation.
My mom passed away fairly suddenly a little less than two weeks ago. My father is deceased, she was never remarried, and I have no siblings. In a handwritten letter that she left for me she requested I give some money to certain family members (which I will honor), but the actual Will names me Executor and sole beneficiary of everything. I have the original copy of the Will signed by her and two witnesses, however it is not notarized and doesn't appear to be from a law firm. It looks like something she downloaded a template for, filled in the blanks, and then signed in front of two coworkers who signed as witnesses. (I'm sure I could get the witnesses to appear on my behalf but would rather avoid it if possible). State of residence is PA (for both her and myself). I also have plenty of official copies of the Death Certificate.
Her Life Insurance / Assets
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$244K in life insurance. I am only beneficiary.
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$67K in a 401(K) that I am named beneficiary of.
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A condo that she owed $115K on. Based on real estate website estimates and recent comps I'm guessing it's worth about $200K. One comparable unit (same floor plan, less updated) did sell for $165K last year though, so I could potentially use that to fudge down the value if it benefits me. (I have no desire to live in this or rent it out, so I will almost definitely sell).
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$4K in a joint savings account that my name is already on.
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$2K in a checking account that my name is not on, with probably another $2-3K coming at the end of the month from her final paycheck.
Her Debts
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A car that she owes $18.4K on. Based on research I think I could sell it for slightly less than that, so I can probably get out of it with just a small loss if necessary. (I'm sort of tempted to take it over because it's really nice and my car is not, but I already own my car so I feel like this is not the prudent financial decision).
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I'm guessing around $10K in credit card debt (haven't figured that out for sure yet, but that's an educated guess).
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We also had about $15K in funeral expenses, plus $1,500 in travel expenses for my immediate family (she was buried in another state...long story). This is being paid out of the life insurance, but I wanted to mention it in case it can help me on the estate.
My Family / Financial Situation
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I am married with one child and another on the way.
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I have about $45K in student loan debt. My mom had been paying this off for me and I'm not sure of interest rates. Regardless, I will be paying this off with life insurance immediately. She made me promise years ago that I would and I intend to keep the promise.
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My wife has about $70K in student loan debt. Interest rates range from 3-6% depending on the loan.
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We have a house that we bought last year with no money down on a USDA loan. We owe about $233K on it and that's probably just about what it's worth. Interest rate is 3.65% and we pay about $100/month in PMI. (I know many won't approve of this choice, but it's already done and we're currently happy with the house).
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About $3K in recent credit card debt that hasn't yet accrued interest but will next month if not paid off. About another $1K in credit card debt that won't accrue interest until Sep.
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About $5K in savings. No retirement account (yet).
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Enough monthly income to pay all the bills and living expenses each month and still put a small amount into savings.
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One car owned and another that we owe about $16K on at 2.9%.
Things I've Already Done
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Got 15 official copies of the Death Certificate
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Notified one creditor (Synchrony Bank) about her passing. (In retrospect I kind of wish I hadn't, but she had a payment due and I wanted to avoid late fees). Turns out she has several lines of credit with them.
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Informally notified her bank of her passing. Haven't provided a Death Certificate yet, but I stopped in the branch yesterday to ask some questions.
Things I Haven't Done Yet
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Taken her Will and Death Certificate down to the Register of Wills. Was planning to do that after work today, but can hold off it might benefit me.
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Notified her mortgage company, car loan, or any other creditors about her passing.
Questions
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Can/should I just make mortgage/utility/condo fee payments in her name until I can sell it? At what point, if at all, do I need to/should I convert the mortgage into my name?
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Instead of declaring her checking account on the estate, can I just leave it open as-is and use it to make the above payments temporarily?
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As credit card payment due dates come and go, should I make the minimum payments out of her checking account or just let them go? Will late fees be assessed?
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If the condo is the only thing in the estate (nothing liquid), what is the process by which creditors seek reimbursement from it?
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Any other advice or anything you think I'm missing?
Submitted April 26, 2017 at 10:49AM by TE515 http://ift.tt/2q7Amyh
