Laws on Debt Responsibility for a Deceased Spouse in New Jersey

New Jersey is a common law state, which affects both divorce and probate proceedings when one spouse dies. In common law states, only the spouse who signed for and took on a debt is generally responsible for paying it. New Jersey's laws afford you a little protection if your spouse dies owing money.

Probate Process

If your spouse left a will, the executor he named in it will take over settling his estate. She will gather all assets that were solely in his name and identify all debts that were solely in his name. If necessary, the executor will liquidate his separate assets to pay off his separate debts. You are not responsible for them. As long as your spouse's debts were solely in his name, you're probably safe from having to pay them.They do have to be paid out of his estate, however, so there may be less money left for your inheritance.

Intestacy Proceedings

If your spouse died without a will, the process is much the same. New Jersey will appoint an administrator to do the work that the executor would have done toward settling the estate. The administrator will liquidate your spouse's separate assets to pay off her separate debts, just like the executor. If there are any assets left over, they go to you, as the spouse. The exception is if your spouse left any children, either those you had together or from another relationship. In that event, you would get one half of anything that is left and her children would get the other half, after her debts are paid.

Joint Debts and Assets

If you and your spouse signed for any debts together, you're liable for paying them after his death. For example, if you took out a joint credit card and both your names are on it, you are still responsible for making the payments after he dies. When two people sign for a loan, whether or not they are married, the creditor can pursue one of them if the other defaults, even if it happened because he passed away. If you can't pay off the debt on your own and the creditor gets a judgment against you, it can place a lien against your property. Creditors your spouse signed with on his own cannot go after your separate property for payment.

Tip

If you were an authorized user on one of your spouse's credit cards, this isn't the same as being a co-debtor. Don't be fooled by such creditors telling you that you have to pay off the debt. A credit card you're authorized to use is not the same as one you and your spouse both signed for. The creditor has no legal recourse to get you to pay it off after your spouse's death if it's not paid through probate or intestacy proceedings. Such creditors have only nine months from the date of your spouse's death to make a claim against his estate for debts in his sole name.