Credit card question

[Pumbaa_]

Ok gurus, got one for you

talking to my parents and all their cc accounts are in Dad's name with mom listed. If Dad passes, what happens to the accounts? Would they transfer to Mom? Would they cancel? Should she have cards with her listed as primary?

Thanks!

 

[MrsToad]

I was just thinking about this recently. DH and I each now have one where we are the primary with the other as an authorized user. I am not an expert, but I would think the authorized user might have to go through the authorization process to keep the account after a death if it isn't a true joint account. As an authorized user on DH's account, I couldn't get any information on the account when I called to remove the automatic flight insurance from our airline tickets, so I don't think they would let me keep it without completing the application/approval process.

 

[ascwilson]

If your mom is a joint owner she would still have access to the caccount, but they may make her update her information to determine if she alone qualifies for the current card limit or if they need to lower the card limit now that she is the only card holder. If she is an authorized user, then she would have to apply for an account in her own name. I am basing this off of my experience working at a credit union, but most card issuers operate the same, but they should call the company to be sure what their policy is.

 

[Pumbaa_]

thanks for the info, will have them check into it. Rather ask the questions now than deal with problems later

 

[seashoreCM]

If someone else namely Mom has signature use of that credit card, she can keep using it as-is until the bank notifies her of any changes or closes the account.

If no one else has signature use, then of course no one else can use it.

 

[Sadie22]

Should she have cards with her listed as primary?

Thanks!

Any woman should, just because

 

[wlake]

Please make sure your mom's name is on everything, and I mean everything. My FIL passed away about a year ago, and we were shocked to learn that my MIL's name was on nothing -- not the house, not the cars, not the bank accounts! It's made things much more difficult for her, my DH, and my BIL.

Also, FYI, even if she has power of attorney, that would end if your father passed away. (Learned that the hard way, too.)

 

[Darcy03231]

I used to work for an attorney that did a lot of probate work. A lot of credit companies will close the account if is a case of a primary card holder and an authorized user at the death of the primary card holder. If the account is a joint account, the survivor can keep the account open in their own name.

Your mom should get at least one major credit card in her own name.

 

[Swimalie]

I used to work for an attorney that did a lot of probate work. A lot of credit companies will close the account if is a case of a primary card holder and an authorized user at the death of the primary card holder. If the account is a joint account, the survivor can keep the account open in their own name.

Your mom should get at least one major credit card in her own name.

I agree. Every person should have a credit card and bank account in their own name.

When my father-in-law passed, most companies, when they found out, closed out the accounts. My mother-in-law, doesn't (didn't) have any credit in her name and hadn't for 32 years so she couldn't get any new credit. Yet they closed out the accounts her husband had. She's had a hard time getting credit now. At 58 years old, it's not something people want to think about.

Again, every person should have a credit card and bank account in their own name from the time they are able. My husband and I have a joint credit card but I have one in my own name that I've had since I was 18. I also have a bank account in my own name (for my business).