If I was a co-signer on a loan and my co-signer put up the collateral but passed away, if the collateral was collected do I still owe the estate?

If I was a co-signer on a loan and my co-signer put up the collateral but passed away, if the collateral was collected do I still owe the estate?

My grandmother and I co-signed a loan and she put her account up as collateral. When she passed away the loan was closed as sufficiently paid, taking the remaining amount from her account. My aunt is in charge of the estate and says I owe her the money now. Am I legally obligated to pay her if the loan has been closed and the bank says I owe nothing?

Asked on August 8, 2012 under Estate Planning, California

Answers:

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