If the deceased dies in debt
If the deceased dies insolvent or there isn't enough money to meet the bequests made, payments from the estate are prioritised in the following order:
- funeral, testamentary and administration expenses
- creditors who have security against the property of the deceased in the form of a mortgage, charge or lien (these are different ways of securing loans)
- rates and taxes due at the testator's death, wages and salary for work done for the deceased within four months of death and sums payable by the estate in respect of contributions payable by the deceased in the twelve months prior to death under social welfare legislation (his/her own PRSI contributions as well as PRSI contributions for employees)
- all other creditors.
Where the deceased dies in debt, creditors can only bring a claim against the
estate of the deceased. Even if there isn't enough money in the estate to meet all the debts,
the relatives of the deceased are not personally responsible or liable for the deceased's debts (unless, of course they had guaranteed them).