Credit card Debt Help

shade343 SG

Asking on behalf of a friend

His mum chalked up around 80k in credit card debts from various banks. Now that his mum is no longer around, is my friend(who is a minor) obliged to settle any outstanding payments with the banks?

The banks has threatened to seize his HDB flat and sell it to recover the debt. Is this legal? Can anyone advise?

FireIce SG

no longer around means?

went to be with god or 跑路?

BadzMaro SG

uh oh...

Junyang700 SG

Is the mum dead?

If his HDB flat belongs to his mother, I think the bank will sell away the house to take back the $80,000 and then return the balance back to his mum's account. The bank will ensure the mum pays back all the $80,000 before allowing family members to inherit the amount. But if the mum's assets are less than $80,000, for example $70,000, probably the bank will have no choice but to waive the $10,000, but that is after full deductions from his mother's CPF accounts and all other assets.

shade343 SG

no longer around means?

went to be with god or 跑路?

Yes. Went back home to heaven

shade343 SG

Yes the HDB flat is in the mum's name, but he has 3 siblings. So now I think the Flat will be divided evenly between them. The mum did not leave a will.

But can a bank even seize a HDB flat to recover a non-housing debt?

likeyou SG

Downgrade and pay off the debts.

noahnoah SG

80k not a lot

just sell off the house

at a good price will do

maybe if can wait the market

to be hotter then sell lor

otherwise, go and have a nice talk

to the bank lar

TooFree SG

Is he the guarantor?

viciouskitty74 SG

Its Credit Cards Debt. The mother died without a will. There is 3 children and TS friend is a minor.

And its not related to housing loan. Plus its a HDb flat.

All in all, the credit cards company can only claim from the mother's estate. Meaning her assets after she passed on. Which usually wont be the case, because credit cards have debts insurances on the card owner.

You need to ask a lot more questions as well and furnish us more answer. But instead of asking this online. Can you go and get proper advise with people that actually have qualifications and experiences about this matter?

This matter should involved a experienced financial advisor, which can also be known as a insurance agent, though I prefer insurance brokers because they are usually better cross trained in various fields like finance, insurance, loans and estate issues.

And if TS is asking about this matter because the friend tells him/her they need to borrow money. Then TS.....please do not be a sucker. Direct the friend to their home lawyers & elders for advises.