Medical bills and bank accounts

[Pea-n-Me]

As for you and your DH's account, obviously those accounts are fair game if they ever go into collection. You can always withdraw all funds from the accounts and go to cash. And just keep the bare minimum in the accounts to pay your necessary bills.

Cabanafrau and others will know way more about this than I do, but I believe that, yes, one could do this, but it would be fraudulent if done to "hide" money from debtors. If there was ever litigation and accounts were looked at going back to the time of when the services were provided, then problems would be worse than just owing money. Not sure of the legalese, and not saying people don't do it, just saying that there could be problems with doing it. (And as I said, I doubt it would come to that since hospitals will negotiate re payments, even if it takes a while.)

 

[gotomu212]

I would recommend as a matter of housekeeping that you get your name off your adult daughters account. If you, personally, are ever sued (car accident, identity theft, etc) her entire account would be part of your assets. This can also cause issues for her if you were to die. In this day and age there's no reason to have a joint account unless you're married or in another contractual business relationship For emergencies she can get you an ATM card and tell you her password or you can explore signatory authority if there are longer standing needs that would require you to take money out on a regular basis.

For the medical bills specifically- are you planning to pay the bills (even if it takes longer over a payment plan). If yes, you should be fine; just work it out with the billing departments. If you aren't planning to pay you need to figure out if you guaranteed his payments as a spouse (states are different as are insurance/medical paperwork) and sometimes a spouse is responsible for debt and some debt an individual is responsible for. If just your husband is responsible than your daughters account is safe. However if you aren't planning to pay and you did guarantee payment (or your state says spouse guarantee is explicit) than it's yet another reason to get off your daughters account asap.

 

[disneychrista]

I am on my daughters (23yo) checking account because it was set up when she was a minor, then a college student and now just because she has never changed it.

 

[cabanafrau]

I'm glad she won, they were probably lucky that time - plus, it's a lot to go through to have to get a lawyer and go to court every time something comes up. I think the Power of Attorney plan works well, instead. At least I hope so.

There can be just as much risk and legal wrangling in situations with a POA. Really, it comes down to the parties involved at the end of the day. IMO there is nothing bigger that the majority of people will fight over than money I would never have believed until I saw it with my own eyes that more people will battle through the solar system and back over money than people who will fight that hard to regain custody of their children who have been made wards of the court and taken into foster care.

Even top notch estate planning cannot guarantee there will not be a pitched legal battle with some families. Truly unbelievable how people will fight tooth and nail, and then some, over stinking money.

 

[tvguy]

Even top notch estate planning cannot guarantee there will not be a pitched legal battle with some families. Truly unbelievable how people will fight tooth and nail, and then some, over stinking money.

Yes, someone always has the right to challenge a person's last wishes. And then you have Prince. $300 million net worth, he clearly could afford a will.