Do beneficiaries and executors have to pay creditors out-of-own pocket if the estate is insolvent?
The executor is not responsible for paying creditors except with estate assets. There are some exceptions, however. An executor can be liable for debts if they cosigned a credit card or loan jointly with the decedent. Executors can also be liable for debts if they mishandled the estate’s assets and caused them to lose value.
Surviving spouses are responsible for debts incurred with the decedent. For debts the decedent incurred alone, the surviving spouse may or may not be responsible depending on state laws and how the property is held.
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