PriceProtect™
DriveShield™
GarageGuard™
Services
Insurance
Car Insurance
Compare Car Insurance with Jerry
Jerry’s Expert Advice
Car Insurance Estimates
Home & Renters Insurance
Renters Insurance
Repairs
Car Repair Estimates
Repair Estimates for Popular Services
Advice
Read Car Content
Browse Jerry Car Advice
Check Out Expert Car QnA
Learn About How We Create Content
Jerry Data & Research
What should I do about my wife's car loan if she passed away?
"My wife passed away unexpectedly. She still owes quite a bit on her car loan, which has negative equity.
I don't want to keep the car and am not sure what my options are.
What should I do?"
Eric Schad · Updated on
Reviewed by Shannon Martin, Licensed Insurance Agent.
“Sorry for your loss.
It all depends on whether the loan was in your name or not. If the loan is exclusively in your wife’s name, the car becomes part of her estate. If you’re the executor of her estate, you can use her savings or other funds she left to you to pay off the loan.
If you don’t have the money from her will, you’ll have to pay off the loan yourself. The smart move here, if you don’t want the car, is to pay enough toward the loan to eradicate the negative equity and then sell the car.
If your name is on the loan, and she was just a cosigner, you’re free to do whatever you want. Because the loan is upside-down, you won’t be able to sell it without a balance left on the loan. You won’t be able to refinance it either. Hope this helps.”
View full answer
- Gregory R.
WHY YOU CAN TRUST JERRY
Jerry partners with more than 50 insurance companies, but our content is independently researched, written, and fact-checked by our team of editors and agents. We aren’t paid for reviews or other content.
Join 4M+ members in lowering their car insurance
You Might Also Be Interested
Read Advice From Car Experts At Jerry
What Others Are Asking
Browse More Content
Insurance in Your State
Easiest way to compare and buy car insurance
No long forms
No spam or unwanted phone calls
Quotes from top insurance companies