My Father who lived in NC purchased a new pick up truck on Jan 5th of this year. He purchased the credit protection that would cover the ent...

Question

My Father who lived in NC purchased a new pick up truck on Jan 5th of this year. He purchased the credit protection that would cover the entire balance of the loan on the truck if he died. He died a week later on Jan 12th. The credit protection paid the balance of the loan and the credit union who held the loan will be mailing me the title of the truck soon. I live in GA. My father had no will and no spouse. My 3 siblings have all signed statements declaring they renounce any claim to the truck and they want me to have it. Does the truck become part of my father's estate? Are creditors entitled to the truck or any proceeds from the sale of the truck? I have possession of the truck here in GA and since the title will be mailed to me by the credit union and there is no dispute amongst my siblings (there are no deceased children of my father and all of my siblings have agreed that they want me to have the truck) we are not going through probate.

Answer

Creditors almost always come ahead of heirs, so abandon the plan you posted, which is illegal and can make you and your siblings liable. See a NC Carolina attorney about probate before you get in a mess.

Answer

The statements by your siblings are meaningless. You may still need to probate an estate for your father - depends on if he had assets or other debts. And while the lender is mailing you the title, I don't see how they can just put it in your name without any legal documentation.

The fact that you have the truck in GA does not dictate whether there needs to be a probate or not. NC has a simplified process for small estates and if there are few debts you or your siblings can collect assets and get things handled. If they want to file proper disclaimers (these have to be in a set form to be valid for NC and IRS purposes) then they can do so. Then the truck can be put in your name if there are no debts.

You should consult with a probate attorney who practices in the county where your father resided at the time of his death. I can see a problem already if you wish to be an executor because you reside out of state and you are not going to be able to get an in-state agent for service of process unless you know someone.