# Fair deal liability after parent passing



## 110quests (2 Mar 2014)

If there is not sufficient equity in a person's home to pay the 22% due after death of patient, under the Fair Deal scheme, are family members liable for the shortfall?


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## STEINER (2 Mar 2014)

The 7.5% X 3 years max = 22.5% of the assets.  How can it be that 77.5% of house value has gone?

[broken link removed]


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## 110quests (2 Mar 2014)

Thank you for replying. I will read through that link. The situation to which I was referring is where there is a mortgage still attached to the home concerned, and other debts to be paid off.


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## 110quests (2 Mar 2014)

In addition to above, the person in nursing home is widowed. There are 5 children


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## Joe_90 (2 Mar 2014)

110quests said:


> In addition to above, the person in nursing home is widowed. There are 5 children



They are currently in the nursing home? If their PPR is in negative equity why? 

Have they other assets if not they have no assets so 7.5% of nothing is nothing.


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## Ryan (7 Apr 2014)

My understanding is that it will be 22% of whatever is left in their estate. I would get in touch with the HSE for advice though


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## 110quests (7 Apr 2014)

In reply to Steiner and Joe: 22% of remaining assets makes sense to me. To Steiner : 77% is not gone,most of it is tied up as there is a mortgage and some other debts to be paid off. The person concerned is currently paying these from pension but if they need nursing home care these liabilities would also have to be catered for from value of the house.(prob have to be sold)
The house is not in negative equity. Let's say value is 110,000. Mortgage and other liabilities 90,000. Balance 20,000. So 80% of pension and 22% of 20,000 would go to nursing home ? 
I will re read the links again.


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## twofor1 (7 Apr 2014)

If you go for the life loan, the HSE will register a Charging Order against the property, so when it’s sold they will have to get their money first, before any unsecured debts, but in the case you mention, the bank would already have something similar for the outstanding mortgage.

I think you need to phone them, your case is unusual, most applicants for Fair Deal would not still have a mortgage.


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## 110quests (7 Apr 2014)

Thank you twofor1. The situation is unusual in that the mortgage was granted "late in life". Even if the house were sold now and all the liabilities cleared the HSE can make their assessment based on the assets of previous 5 years although on second thoughts, if the house is gone the Loan scheme would not be applied for. Will find out more from HSE if possible. 

A lot to be said for a quick exit from our earthly home !


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