Advice 1: Who pays credit debt if the person died

Human death is a great misfortune for the whole family. But not everyone knows that loan obligations do not cease to exist. It is not always clear what to do, the heirs with a debt to the Bank.
Who pays credit debt if the person died
The time of entry into the right of inheritance, but in addition to material benefits there are debt obligations that can be delivered to the heir.

Which implies inheritance

According to article 1175 of the civil code, all obligations which includes Bank loans, after the borrower's death pass to his heirs, within the estate. For example, if the heir gets the estate, and the obligation to the Bank in the amount of 1.5 million rubles, the debt will be closed, or reduced the amount from the sale of inherited property. If the amount of the sale will exceed the debt, the heir receives the remainder. If there are multiple heirs obligations are distributed in proportion to the received inheritance.

Loan interest and death

After the borrower died, his contract with the Bank continues to operate. The Bank continues to accrue interest on the loan, and after missing a payment will consist of interest and penalties. The burden to pay all Bank charges borne by the heirs. The legitimacy of the actions of the Bank due to article 1113 and 1114 of the civil code which says that the opening day of inheritance is day of death of the testator.

If the heirs do not have enough funds to repay the loan, and the inheritance has not yet entered into force (the law comes after 6 months), you can contact the Bank with the application for deferment of payments.

In this case, banks often meet, or offer an alternative solution to this issue. If the heirs are not aware of the existence of the credit agreement and obligations and after the time the summons comes for the payment of interest and penalty for delayed payments, the heir can go to court. Jurisprudence refers to article 333 of the civil code, if the delay in payment was not the fault of the heirs, it significantly reduces the size of the penalty.

You can abandon the debt of the deceased testator, it is enough to get a notarized renunciation of inheritance. It should be noted that "mind" is almost impossible.

If the heirs do not exist or they issued a refusal, the debt is transferred to the guarantors. However, they can claim the property of the deceased to pay the debt. If the heirs have not made a failure, and the debt repaid, the surety, the latter is entitled to demand reimbursement of costs.

At registration of the credit agreement banks often via an insurance company to insure the life and health of the client and that the outstanding balance could be taken from the insurance payments. In some banks, it is imperative.

Advice 2: How to solve the problem with the loan if a lot of debt

Financial difficulties can seem insurmountable, if it is necessary to return the debt on the loan. To refuse to pay, as you can lose quite a lot. The problem can be solved in different ways.
How to solve the problem with the loan if a lot of debt
First, contact the Bank and get information about each completed payment. You need to know the date of payment, amount and description (for what it was made of money). This certificate can be obtained on the same day. If the Bank refused a certificate on the same day, write a statement that the Bank will consider in a few days. In the case when you need to write the above statement, ask for a copy of your application. Official paper always plays an important role.
When data are received, make a further statement on debt restructuring, in other words – with a request for vacation credit. Be sure to describe your problem and tell them that further payments will not give up. Should not refuse and from fines. As a rule, banks with more understanding attitude to bona fide customers, even when there are similar situations.
Consult with a lawyer and make a statement to the Bank for cancellation of its permission to use the personal information Bank, as this action will stop the Bank from data collection Agency. The main thing to always remember – collect copies of all documents. Carefully read the loan agreement because some banks initially in small print write a paragraph prohibiting the withdrawal of consent on the processing and transfer of the client. If such a clause is in the contract, the above statement would not make sense. In such a situation, legal advice will be especially important.
You can find another way pay small amounts, as long as the payment was right on time. Such a "knight's move" will give the Bank an opportunity to identify you as a customer with bad credit history. If pay does not work even in small amounts, every month send to the Bank a letter, which must indicate the possible solutions of the situation. Such a move will help shape the image of the borrower is honest. This image can play a big role, if you have to sue. Inspectors of the Bank in most cases are going to meet. Refuse to negotiate with them is not necessary, as there is quite a large number of cases to negotiate with inspectors and the security service was quite fast.
Contact another Bank for refinancing of debt.
After full repayment of the loan can apply to the court to petition for the return of all overpayments that were paid to the Bank as overpayment of fines and interest payments of the loan would be illegal.
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