Am I Responsible for My Late Husband’s Credit Cards If I Was Only an Authorized User?
My husband passed away in March. I was unable to work for a couple of years because I was caring for him. We have about $30,000 in credit card debt with three banks. A couple of the cards were in my husband's name only, with me as an authorized user. I am left with no money and no job, but I own our home outright. One bank closed his account and turned it over to a collection agency, which has called and sent a letter. I am current on the others, but probably not for long.
I am very worried about being sued and about liens against my home. Am I responsible for the cards that were in his name?
—D.
Short answer
Authorized users are not typically on the hook for the account balance if it goes unpaid. Creditors only go after the account holder, with few exceptions. The catch is that the account can still show as a negative on your credit reports.
Key points on this page
- Authorized users are not typically on the hook for the account balance if it goes unpaid
- Creditors only go after the account holder, with few exceptions
- Being an authorized user on an account you are not legally obligated to pay will not necessarily keep it from showing as a negative on your credit reports
- If you live in a community property state, get feedback from an experienced debt collection consumer law attorney
- Some banks will seek collection through a deceased card member’s estate if there is probate
- Talk about solutions before you talk to the bank, and before you try to dispute the authorized user account off your credit reports
I am sorry for your loss.
Authorized users are not typically on the hook for the account balance if it goes unpaid. Creditors only go after the account holder, with few exceptions.
You should know that being an authorized user on an account you are not legally obligated to pay will not necessarily keep it from showing as a negative on your credit reports. This is a bit of a catch.
If you live in a community property state
If you live in a community property state, you may want to get feedback from an experienced debt collection consumer law attorney about any concerns in this regard. I do not see creditors sue a spouse over a card that was only in the other spouse’s name too often, even in community property states.
Collection through the estate
You also want to be aware that some banks will seek collection through a deceased card member’s estate if there is probate. It is also feasible that an authorized user could be found liable for charges made after the card member’s passing.
I would get a consult with a probate attorney, even if you pay for it. You will be able to wind things down and wrap up your husband’s affairs with confidence this way.
Before you call the bank
As an authorized user on an account that is reporting to your credit, you get the benefits when the payments are kept current. You also get the drawbacks when they stop. I cover this in how your credit card bills and credit reports can impact your spouse.
If I have it my way, I want to talk about solutions with anybody in this situation before they talk to the bank, and before they try to dispute the authorized user account off their credit reports. You can request a free debt consultation with me to do that.
About Michael BoveeMichael started CRN in 2004 with a mission to provide people in need with detailed debt and credit help and education. Michael has participated as an expert panelist in federal consumer protection rule making, collaborated on state law changes governing debt consolidation, has worked as an expert witness in court matters related to the debt relief industry. He is available to speak with you about your financial struggle and helps people resolve their debt problems daily.
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