Law4u - Made in India

What is the process for recovering money from a deceased debtor's estate?

31-Mar-2025
Recovery

Answer By law4u team

If a debtor passes away without repaying a debt, the creditor can recover the money from the deceased's estate through a legal process. In India, the Indian Succession Act, 1925 and the Civil Procedure Code (CPC), 1908 govern such recovery. Steps to Recover Money from a Deceased Debtor’s Estate Identify the Legal Heirs or Administrator If the deceased made a Will, the executor named in the Will is responsible for settling debts. If there is no Will, the legal heirs or a court-appointed administrator will handle the estate. File a Claim Against the Estate The creditor must send a legal notice to the legal heirs/executor demanding repayment. If they refuse, a civil suit for recovery can be filed against the estate of the deceased. Legal Proceedings in Court File a suit under Order 37 of the CPC (Summary Suit) for faster recovery. The court may direct the executor/legal heirs to pay the debt from the deceased’s assets. Attachment of Estate Assets The creditor can seek attachment of the deceased’s movable and immovable properties. If the estate has no assets, legal heirs are not personally liable unless they have inherited wealth from the deceased. Insolvency Proceedings (if applicable) If the estate lacks sufficient funds, the court may declare it insolvent, and creditors may get a proportionate share of the available assets.

Answer By Anik

Dear Client, If a debtor dies, the legal heirs of the deceased are not liable for his or her debts but the creditor can claim money from the estate of the deceased i.e. whatever property, money and assets they leave behind. Here are some key steps in the process: 1. The initial step for the creditor to take is to obtain an official death certificate of the debtor. 2. Find out who the legal inheritors of the estate are or find out who the executor of the will is. 3. A legal notice can be dispatched to the successors/executor asking for repayment from the property. 4. If the heirs do not settle the debt, the creditor may file a civil recovery suit against the deceased’s estate under the Code of Civil Procedure, 1908. However, it is important to note that the courts will not order any amount for recovery apart from what can be extracted from the assets left by the deceased. It cannot be from the heirs’ personal property. I hope this answer helps. For any further queries, please do not hesitate to contact us. Thank you.

Recovery Verified Advocates

Get expert legal advice instantly.

Advocate Lalit Kumar

Advocate Lalit Kumar

Criminal, Divorce, Family, Anticipatory Bail, Civil, R.T.I, NCLT, Recovery

Get Advice
Advocate Satyam Rai

Advocate Satyam Rai

Arbitration, Bankruptcy & Insolvency, Banking & Finance, Cheque Bounce, Civil, Consumer Court, Corporate, Criminal, Divorce, Domestic Violence, Family, High Court, Labour & Service, Landlord & Tenant, Medical Negligence, Motor Accident, NCLT, Property, Recovery, RERA, Succession Certificate, Revenue

Get Advice
Advocate Shiva Shankara N

Advocate Shiva Shankara N

Civil, Cheque Bounce, Anticipatory Bail, Child Custody, Court Marriage, Criminal, Divorce, Documentation, Domestic Violence, Family, Motor Accident, Muslim Law, Property, Recovery, Succession Certificate, Wills Trusts, Cyber Crime, Breach of Contract

Get Advice
Advocate Mohan Gope

Advocate Mohan Gope

Anticipatory Bail, Arbitration, Armed Forces Tribunal, Bankruptcy & Insolvency, Banking & Finance, Breach of Contract, Cheque Bounce, Child Custody, Civil, Consumer Court, Corporate, Court Marriage, Customs & Central Excise, Criminal, Cyber Crime, Divorce, Documentation, GST, Domestic Violence, Family, High Court, Immigration, Insurance, International Law, Labour & Service, Landlord & Tenant, Media and Entertainment, Medical Negligence, Motor Accident, Muslim Law, NCLT, Patent, Property, R.T.I, Recovery, RERA, Startup, Succession Certificate, Supreme Court, Tax, Trademark & Copyright, Wills Trusts, Revenue

Get Advice
Advocate Anil Kumar Pandey

Advocate Anil Kumar Pandey

Anticipatory Bail, Arbitration, Bankruptcy & Insolvency, Breach of Contract, Cheque Bounce, Child Custody, Civil, Consumer Court, Court Marriage, Criminal, Cyber Crime, Divorce, Documentation, GST, Domestic Violence, Family, High Court, Immigration, Insurance, International Law, Labour & Service, Landlord & Tenant, Media and Entertainment, Medical Negligence, Motor Accident, Muslim Law, NCLT, Patent, Property, R.T.I, Recovery, RERA, Supreme Court, Tax, Trademark & Copyright, Wills Trusts

Get Advice
Advocate Himanshu Sharma

Advocate Himanshu Sharma

Breach of Contract, Cheque Bounce, Child Custody, Civil, Consumer Court, Corporate, Court Marriage, Divorce, GST, Domestic Violence, Family, High Court, Labour & Service, Recovery, Anticipatory Bail, Criminal, Cyber Crime, Documentation, Muslim Law, Medical Negligence, NCLT, Succession Certificate, Motor Accident, R.T.I, Trademark & Copyright, Tax

Get Advice
Advocate Sujit D Koli

Advocate Sujit D Koli

Anticipatory Bail, Arbitration, Armed Forces Tribunal, Bankruptcy & Insolvency, Banking & Finance, Breach of Contract, Cheque Bounce, Child Custody, Civil, Consumer Court, Corporate, Court Marriage, Customs & Central Excise, Criminal, Cyber Crime, Divorce, Documentation, GST, Domestic Violence, Family, High Court, Immigration, Insurance, International Law, Labour & Service, Landlord & Tenant, Media and Entertainment, Medical Negligence, Motor Accident, Muslim Law, NCLT, Patent, Property, R.T.I, Recovery, RERA, Startup, Succession Certificate, Supreme Court, Tax, Trademark & Copyright, Wills Trusts, Revenue

Get Advice
Advocate Avula Balamalapa Raju

Advocate Avula Balamalapa Raju

Anticipatory Bail, Arbitration, Cheque Bounce, Child Custody, Civil, Criminal, Cyber Crime, Divorce, Domestic Violence, Family, High Court, Muslim Law, Property, Recovery, Succession Certificate, Revenue

Get Advice
Advocate Vinayak Upadhyay

Advocate Vinayak Upadhyay

Anticipatory Bail, Armed Forces Tribunal, Bankruptcy & Insolvency, Banking & Finance, Breach of Contract, Cheque Bounce, Child Custody, Civil, Consumer Court, Corporate, Court Marriage, Criminal, Cyber Crime, Divorce, Documentation, Domestic Violence, Family, High Court, Insurance, Labour & Service, Landlord & Tenant, Media and Entertainment, Motor Accident, Muslim Law, Property, R.T.I, Recovery, Succession Certificate, Trademark & Copyright, Wills Trusts, Revenue, Supreme Court

Get Advice
Advocate Amita Katiyar

Advocate Amita Katiyar

Anticipatory Bail, Cheque Bounce, Child Custody, Civil, Consumer Court, Court Marriage, Criminal, Cyber Crime, Divorce, GST, Domestic Violence, Family, High Court, Labour & Service, Landlord & Tenant, Motor Accident, Muslim Law, Property, Recovery, Succession Certificate, Supreme Court, Tax

Get Advice

Recovery Related Questions

Discover clear and detailed answers to common questions about Breach of Contract. Learn about procedures and more in straightforward language.