Which debts are forgiven when someone dies?

Some debts are discharged after you die, while others may need to be paid by the estate or others. Muhammad Aqib/Getty Images The transfer of assets after a family member dies is often top of mind for their loved ones, especially when a home, retirement accounts or savings are involved. But the liabilities that remain after a death can be just as important. In many cases, a person's financial obligations don't simply vanish when they die, creating widespread uncertainty for the surviving relatives, who may already be dealing with any number of emotional and logistical challenges. That's become an increasingly relevant concern in today's economy. Right now, household debt is at a record high , and many older Americans are carrying high-rate credit card balances , personal loans, and other debt well into retirement. As a result, questions about what happens to a person's debt after death are becoming more common, particularly among adult children, spouses and estate executors tasked with settling financial affairs. The answer, however, isn't always straightforward. Some debts are extinguished upon death, while others may be paid from the deceased's estate. So, which types of debts are actually forgiven after a person dies? That's what we'll examine below. Learn how the right debt relief strategy could help you now . Which debts are forgiven when someone dies? It's important to understand that debt generally belongs to the borrower, not their relatives. …