Skip to Content

We are a Veteran Owned Business, providing 20% discounts for Veterans, First Responders, Elementary and High School teachers. Please contact us to set up a phone or Zoom meeting. Taking care of you and your family, It's What We Do!

Creditor Claims Against the Estate

Most people die with some debt. While an Executor has an obligation to address properly filed creditor claims, the Creditor must act sooner rather than later. A delay might mean the beneficiaries have already spent the estate’s funds leaving your claim essentially worthless. The below article describes creditor options to make claims against an estate.

Creditor Claims: What Does This Mean for a Beneficiary to an Estate?

A creditor must file a claim against an estate within a specified period, or the claim is forever barred. Therefore, if a decedent owes you money, you must pursue that claim. Payment of debts is made before payment of inheritances, reducing the estate’s total value.

Time Frames for Creditors to Make a Claim Against an Estate.

Each state limits the time for creditor claims. For example, Pennsylvania law provides that creditors have one year after the date of death to make a proper claim against the estate. A time limit exists so an executor can eventually distribute inheritances, free from the potential of later claims by unknown creditors

The Duty of the Personal Representative to Notify Creditors.

The Executor or Personal Representative is responsible for addressing properly filed creditor claims. Each state has rules covering what steps must be taken. If followed, the Executor is released from liability. If the Executor fails to follow proper steps, the creditor might have a claim against the Executor’s assets.

Advice for the Fiduciary

The most experienced professional fiduciaries hire experienced Estate Planning Attorneys to advise them. Hiring an advisor is excellent advice because as a fiduciary, you have the legal right to retain an experienced Estate Planning Lawyer to assist and advise you. There is no personal cost to you. The estate or trust pays the fee because obtaining advice when the chance for personal liability exists is a reasonable expense. Going without sound advice provided at no personal cost is foolish.

Fiduciaries should not use estate or trust assets for personal gain. Your decisions need be free of conflict and self-dealing. Sometimes the lines of what is your personal gain and what is best for the beneficiary are gray. When the lines are unclear, seek the advice of a seasoned Estate Planning Lawyer. Your lawyer can be a sounding board (at no cost to you) to help ensure your actions do not create personal liability.

We Can Help

If you have any questions about creditor’s claims or any other estate law topics, please contact us to schedule a free consultation.

Reasonable Prices | Years of Experience | We Stand With You and We Fight For You.

For more than two decades Klenk Law has focused only on Estate Law. We’ve seen it all, and this experience allows us to explain complex estate law and creditor’s claims against the estate clearly and concisely. If you are an Executor or Personal Representative our experienced Estate Attorneys will make it easy for you to understand creditors claims and provide advice so you can make the best decisions.

What Our clients are saying

Klenk Law Logo
Stars

Stephanie Sesker

We were extremely pleased with the work done by Peter Klenk and members of the staff at Klenk Law. They were very thorough and did the work in a timely fashion. Peter's explanations of the legal system were very clear and helpful. I highly recommend this firm and Peter.

Klenk Law Logo
Stars

Denise Lowmaster

Our experience with Klenk Law has been exceptional. We’ve had help with estate planning and pre-nuptial agreements. They really take the time to explain everything and let us know our options. All of the staff are very professional, courteous and knowledgeable. They are very prompt with responding to calls and messages. We will continue to use them and recommend to friends and family.

Klenk Law Logo
Stars

Tina Krovetz

Fantastically easy and efficient team to work with getting our wills done. We will use Klenk again in the years to come. I highly recommend Peter Klenk.

Klenk Law Logo
Stars

PJ Gorenc

The Klenk Law team was a pleasure to deal with! Peter was responsive and helpful, and took good care of our needs!

Klenk Law Logo
Stars

Lu Han

I have worked with three different attorneys and law firms over the years, and I can confidently say that attorney Peter Klenk stands out as the most knowledgeable. He created the most thorough wills and trust documents I've ever had. Mr. Klenk took the time to gather all the necessary details about my current situation and goals. As a result, he put together comprehensive documents that I believe will effectively protect my assets and ensure my children's inheritance is secure.
What truly sets Mr. Klenk apart is his patience and dedication to understanding my questions. He provided detailed explanations that made complex legal concepts much easier to grasp. His team's communication and scheduling were equally impressive, making the entire process smooth and stress-free.
Thank you, Mr. Klenk, and your fantastic team, for your exceptional service!

Let us put our expertise to work for you.

Free consultation within 24 hours.