So my father recently passed away 6 weeks ago. It was an unexpected sudden death and my family and I are left with his finances. He did have a life insurance policy which my mother did receive, but also had some debt.
Part 1 : He owned a small business. An LLC. Under his business, he took out a 10k credit line from the bank to help pay off his taxes for 2019.. no one really knew about that, but my mother found out from the bank. Would this be something we would be responsible for if it was taken out not by my father personally, but by the business (LLC). We plan on closing the business and possibly selling the phone #. (Well pump service business for the last 15yrs)
Part 2: He recently purchased an ATV. He paid 10k for it, currently owes $5500. We made mays payment after he passed but then my mom said she was told not to pay anything going forward and we will be contacted by collections.. I am interested in the ATV and want to keep it myself. When she spoke to whoever about this loan, she didnt know what the current value was. They told her it was worth about $3900 and if we let them take it “the estate” will be responsible for the rest..
Well I know that quad is worth about 6k. It has less than 20hrs on it, he never used it..
Am I in a position to contact the lender and offer to buy it out for less than what he owes? They claim its worth 3900. He owes 5500. Could I say something like I can write you a check for $4000 (or whatever) to close out the loan?
Any tips / advice would be so appreciated. We are all so overwhelmed by everything. Oh and I live in NJ if that helps.
Thank you!
