Probate and estate issue?

My mother passed away last week. No will and lots of debt to make long story short. Her only assets that we can find is a checking account with maybe $800 and her car. We did find papers stating the car is covered by life insurance but she owes so much money that the car will go to her estate. She has a small life insurance policy of about $10,000. She was making payments on a mobile home that is worth $29,000. No other assets to speak of. Her ending debt including medical bills and credit cards is well over $200,000 (not exaggerating!) Since she has no will what little she has will go to estate from what I know. So should my brother and I (who are the beneficiaries of the life insurance policy) expect to even see any of the policy or estate? With her owing so much money to so many people is the state gonna just eat it all up and use it to pay her bills? We have no other family so it's not like anyone is gonna show up wanting money. We just wanna pay for her funeral. HELP!! :(

Yeah her funeral will be about 10,000 I found that out when my sister died 3 years ago. Your mother owes 200,000 +. That is more than the total amount of her life insurance, bank accounts and so on that she has that is 100% her's . That means no leans on these iteams or anything. The people who your mother owes money to have 30 day to make a clame against her estate. If they do not make a clame against her estate within the 30 day window them as a rule you all do not have to pay anything. You need to check with a lawyer my information on probate law is a few years old and it varies from state to state. So if you get lucky you all may not have to pay all of that money. If the do file a clame against her estate then you and your brother will have to pay off her bills. Most places will be more than willing to work with you as long as you approch them politley and nicley. Heck some have been even known to drop the whole debt or even reduce it by 50 to 70%. So don't be afaride to beg and ask for help. Good luck and call a lawyer. =)

The estate has to pay all the debts first before any amount will be given to the heirs to be divided equally since there is no will.

The net estate (assets minus liabilities) goes to the heirs. Here, it seems the liabilities will be more than the assets. That means you and your brother will receive nothing.

However, life insurance is usually paid outside of the estate, meaning it is not subject to your mother's liabilities. That means you and your brother probably will get to keep the $10,000 and MAYBE even the insurance on the car, depending on how it is worded.

Also---and this is important---there is a priority for payment of debts. That MAY mean your mother's assets will pay the funeral expenses, leaving you and your brother to pay none of those expenses.

Consult a lawyer where you live. Good luck to you.