Can a credit card company put a lien on a house if the owner of the house has died?

Question Details:

Here is the scenario. We will call the party involved Jane Doe. Jane Doe owns a house free and clear of mortgages and debts. Jane Doe dies and does not have a will, therefore, her estate goes to probate. Can a credit card company that Jane Doe had an outstanding bill to put a lien on the house?

Asked on 11/29/2009 under: Massachusetts Real Estate More Legal Topics ▼All States ▼

Christopher Vaughn-Martel / VAUGHN-MARTEL LAW Answered 3 years ago This attorney is licensed in Massachusetts View Attorney Profile

I am licensed to practice law in the Commonwealth of Massachusetts, and I assist clients with matters ranging from family law, estate planning and probate.

Creditors of Jane Doe may bring claims against her estate for payment. Just like any other legal obligation, the creditor has the right to bring a claim against the debtor and file liens if judgment is obtained. You should retain an attorney if you are going to be taking on the responsibilities of administrator(rix). An attorney can help you settle valid debts with estate property and assist you in disputing invalid debts. Please feel free to contact my office if you would like further assistance. 617-357-4898.

M.T.G., Member, New York Bar / FreeAdvice Contributing Attorney Answered 3 years ago| Contributor

The short answer to this question is yes. A lien can mean that the creditor might be able to foreclose/sell the property to satisfy the unpaid debt. But each situation is different and whether or not YOUR debts can lead to a lien on YOUR house is determined by a number of factors, from what state you live in to how old the debt might be.

People often are confused and surprised when a debt that they did not agree to give any collateral to end up with a lien on property. Each state’s laws are different, but in general a creditor has the right to sue and try to be paid from property owned by the debtor.

Moreover, the Personal Representative of the estate of the decedent has the obligation to pay all debts known from the assets of the estate. They could get in big trouble and be personally liable in some instances if they do not.

To know whether or not the property is at risk, talk to an attorney in your area who will explain who can sue you and what they can, or can not get from you if you are sued.