What happens to a leased car if someone dies?
When a person leasing a vehicle passes away, most of the time the lease does not die with the person. The future of the car lease is determined by the provisions in the contract. Often times, payments still need to be made and the payments become the responsibility of the deceased car lessee’s estate.
Can a co-signer of a car lease die?
In some instances, death may be classified as an “early termination” of the lease, and payment obligations may continue. If there is a co-signer on the lease, such as the deceased’s spouse, he or she may be liable for future payments.
What happens when a loved one dies with an auto lease?
When a loved one passes away with an auto lease, you may believe that the lease is automatically canceled because he is no longer around to make the payments. In most cases, the lease is not automatically canceled upon the death of the owner. Like other financial obligations, they still exist even if the individual passed away.
What happens to my husband’s car lease in California?
In California, the vehicle creditor has one year from the date of your husband’s death in which to file a lawsuit against you for collection of this debt. I would not recommend that you pay anything on this debt until you have spoken to an experienced debtor’s rights attorney.
Can a family member take over a car lease?
Often times, the family will have to continue payments as they communicate with the car dealership as to how they want to proceed. However, family members will only be forced to take over the car lease if they signed an obligation agreeing to be liable for the car lease.
In some instances, death may be classified as an “early termination” of the lease, and payment obligations may continue. If there is a co-signer on the lease, such as the deceased’s spouse, he or she may be liable for future payments.
When a loved one passes away with an auto lease, you may believe that the lease is automatically canceled because he is no longer around to make the payments. In most cases, the lease is not automatically canceled upon the death of the owner. Like other financial obligations, they still exist even if the individual passed away.
In California, the vehicle creditor has one year from the date of your husband’s death in which to file a lawsuit against you for collection of this debt. I would not recommend that you pay anything on this debt until you have spoken to an experienced debtor’s rights attorney.
Often times, the family will have to continue payments as they communicate with the car dealership as to how they want to proceed. However, family members will only be forced to take over the car lease if they signed an obligation agreeing to be liable for the car lease.