When a loved one passes away, their unpaid bills do not simply disappear. Georgia law requires the estate to announce the death so creditors can come forward. As the executor or personal representative, you hold the responsibility of managing these debts. You must use the assets in the estate to pay back what the deceased person owed before anyone else receives an inheritance. Handling this task correctly ensures you follow the law and protect the estate from legal trouble.
The legal order of paying debts
Georgia law provides a specific list that tells you which bills to pay first. You cannot just pay the first person who calls you. You must follow this priority list:
The very first priority is the Year’s Support for the family. Next, you pay for funeral expenses that match the person’s lifestyle. After that, you cover the costs of managing the estate, such as court fees or legal costs. The fourth priority goes to the medical bills from the person’s final illness.
Following those, you must pay any unpaid taxes owed to the state or the federal government. Sixth on the list are legal judgments and liens against the property. Finally, you pay all other remaining claims and general debts.
Why legal help matters
If the estate has more debt than money, you face a very risky situation. Paying the wrong creditor at the wrong time could make you personally liable for the mistake. An attorney helps you identify which debts are valid and ensures you follow the strict order required by the state. They provide a layer of protection so you do not accidentally lose money or break Georgia probate rules while trying to do the right thing.
Moving forward with confidence
Probate is a long process, but you do not have to handle the pressure alone. If you worry that the estate cannot cover all its bills or you are not sure how to handle all the process, seek professional advice immediately. An experienced Georgia probate lawyer can help you review the assets and negotiate with creditors. Taking the right steps now will save you from stress and financial errors in the future. Reach out to our probate attorney at Law Office of Erin Muldoon Haug today at 912-421-7084 to ensure you settle the estate correctly.