70-Year-Old Widow With Cancer Finds Out She Has $120,000 In Hidden Credit Debt After Husband's Sudden Death — Asks What To Do Next: 'I'm Lost'

A 70-year-old widow from Long Island, New York, recently turned to the Internet for financial advice after her husband's sudden death, which left her with $120,000 in credit card debt. Her situation is complicated by her ongoing battle with stage IV cancer and a lack of knowledge about her financial responsibilities.

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The widow explained her predicament on Reddit in a post titled, "My husband passed away suddenly and left me with $120,000 in debt on credit cards."

She owns a fully paid-off $650,000 home and has $200,000 in money market accounts. Additionally, she holds an IRA worth $45,000 and has received $30,000 in life insurance proceeds. Unbeknown to her, she was the primary holder of multiple credit cards and a $70,000 home equity loan from a $100,000 line of credit managed by her late husband.

She admitted feeling overwhelmed and uncertain about her next steps, asking the community whether she should seek credit counseling or hire a lawyer to contest the credit card debt, saying, "How should I proceed? Credit counseling or a lawyer to fight the credit card companies that the cards were fraudulent? I need to get rid of the debt. I need income to live on. I'm lost." 

Advice poured in from the community. Several users stressed the necessity of legal advice due to potential deception by her spouse. "You need a lawyer stat," one commenter stated, pointing out the seriousness of the situation if she was unaware of being the primary account holder. 

Another detailed, "If you didn't know you were the primary, your husband has committed fraud. I can only hope there's an out for you, but you really need that qualified legal advice from someone in the know."

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Regarding financial advice, one user noted, "Is the car you're getting rid of paid off? If so, why not keep that one and end the lease?" while another questioned penalties related to her retirement savings, "Also, why are there penalties for withdrawing from an IRA if you're 70?"

The community also offered emotional support and practical tips. "I am sorry for your loss," one user sympathized, while another suggested a comprehensive approach to handling the situation: "For now I would pay the gardener and the pond maintenance company and the minimum payments on everything else. Get a therapist to sort out your feelings. Then six months from now unless you really love your home or your life expectancy is determined to be short (not sure about your life expectancy with the cancer), I would sell your house and use the profits to pay off the credit cards and HELOC and buy or rent a small home or apartment."

One recommendation included delaying any drastic decisions, "I would hesitate to make any big changes now if he just died. Really it can be dangerous to make any life changes when someone first dies because grief can cause us to make choices we regret later. Wait at least six months if not a little longer before making any big changes."

This collective input from the community highlights the value of emotional support and pragmatic advice. It emphasizes the importance of thoughtful decision-making and seeking professional help in complex financial and legal matters. 

For anyone facing a financial challenge or needing advice, it's best to consult a financial advisor or a legal expert for guidance tailored to their needs. 

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