Should I Cancel My Credit Cards Before I Die?

[vernsimpson]

SHOULD I CANCEL MY CREDIT CARD BEFORE I DIE?

Be sure and cancel your credit cards before you die! This is so priceless, and so easy to see happening , customer service being what it is today.

A lady died this past January, and Citibank billed her for February and March for their annual service charges on her credit card and added late fees and interest on the monthly charge.

The balance had been $0.00 when she died, but now somewhere around $60.00. A family member placed a call to Citibank.

Here is the exchange :

Family Member: 'I am calling to tell you she died back in January.

Citibank : 'The account was never closed and the late fees and charges still apply.'
Family Member : 'Maybe you should turn it over to collections.'
Citibank : 'Since it is two months past due, it already has been.'
Family Member : So, what will they do when they find out she is dead?'
Citibank : 'Either report her account to frauds division or report her to the credit bureau, maybe both!'
Family Member : 'Do you think God will be mad at her? '

Citibank : 'Excuse me?'

Family Member: 'Did you just get what I was telling you - the part about her being dead?'

Citibank : 'Sir, you'll have to speak to my supervisor.'
Supervisor gets on the phone:

Family Member: 'I'm calling to tell you, she died back in January with a $0 balance.'

Citibank : 'The account was never closed and late fees and charges still apply.'
Family Member: 'You mean you want to collect from her estate?'

Citibank : (Stammer) 'Are you her lawyer?'
Family Member: 'No, I'm her great nephew.' (Lawyer info was given)

Citibank: 'Could you fax us a certificate of death?'
Family Member: 'Sure.' (Fax number was given)
After they get the fax :

Citibank: 'Our system just isn't setup for death. I don't know what more I can do to help.'
Family Member: 'Well, if you figure it out, great! If not, you could just keep billing her. She won't care.'

Citibank: 'Well, the late fees and charges will still apply.'

(What is wrong with these people?!?)

Family Member: 'Would you like her new billing address?'

Citibank : 'That might help....'
Family Member: ’ Odessa Memorial Cemetery, Highway 129, Plot Number 69.'

Citibank : 'Sir, that's a cemetery!'
Family Member: 'And what do you do with dead people on your planet???'

(Priceless!!)

And you wondered why Citibank needed help from the Feds?

 

[Peggy Reist]

I saw this on Facebook the other day. It's funny, but it probably shouldn't be. After being on the phone with some pretty stupid people, this is probably not only possible, but likely.

 

[tcox4freedom]

First find a Credit Counselor. (Financial planners are not Credit Counselors) They can help you & your family avoid or at least lessen the impact that your death will have on your spouse.

When my stepfather died 8yr ago my mom went through something similar to what's in the OP. Trying to cancel his credit cards and close his accounts was a nightmare! Then, when she finally started to get somewhere, her credit rating was TANKED! It was as if she had filed for bankruptcy; when the only thing she did was let the banks know her husband had died and she wanted to close-out his accounts. Eight years later she is still fighting to have her credit restored. Keep in mind, at 72yr old, she has never, EVER made a late payment on anything. (NOT ONCE!)

So, my personal advice is to tell you; "YES! Close out all your credit accounts before you die." But, try not to do it all at once. Pay them down asap. Then close them out one by one. If you must use some credit, seek out a sig line at your bank that will work as overdraft protection.

My wife & I closed all all credit card accounts almost 15yrs ago and have operated on a cash basis with the exception of overdraft/sig line of credit that can be used in an emergency. We also recently opened a "medical" credit account to help us with our kids orthodontics. But, that is it! Our credit took a hit when we first did what we did because we did things all at once. But, now we have good credit (720+) and if anything happens to me or my wife, the surviving spouse should not take the type of hit my mom did.


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[BC1]

My dad passed away in 2010. The VA sent a letter telling the family not to worry about his outstanding balance. Any remaining bills have been cleared. Then came St. Kooks Hospital in Newburgh, NY. Demanded $2,300 or else. Called the business office to explain he passed away in their hospital. He was very old and due to some good estate planning had moved his assets many years ago. On paper he had nothing left. The hospital became unreasonable. That's when I pressed the "record" button. I was cursed and screamed at. Told me shut-up and pay his bill or else. Or else what? Sue him? She yelled "Yes!" I told her you'll have to dig him up to serve him. Eventually it went to collection. I called the agency and told them he passed away at the hospital who's trying to collect. They have the death cert. The collection lawyer laughed his ass off. He expressed his condolences and hung-up.
.
P.S. If you're in the Hudson Valley and you get sick do not let anyone take you to St. Kooks Hospital. Anywhere but there.

 

[maddog5150]

Yes. Just cancel and close all the accounts now. Live with cash and debit card.
Freedom!

 

[mwhals]

My dad died a couple of months ago and I had no problem closing his credit cards. He had no balances anyway.

 

[tcox4freedom]

My dad died a couple of months ago and I had no problem closing his credit cards. He had no balances anyway.

It's different for a child because closing a parents account after they die usually won't affect them unless they are balances to be paid. My stepfather didn't owe anything either. But, when my mom reported his death & closed the accounts her credit rating took a 200+ point hit overnight.

 

[UrsusMedius]

Cancelled all credit cards a few years ago. Now we just use our bank debit card (but always specify that it be used as a credit card to avoid extra bank charges.) The only debt we have is the mortgage. "Stuff" is already divided up amongst the kids and bros./sisters.