My father-in-law co-signed a loan for me. He has passed on and now the bank calling me for payment in full. Can they do this? Should it not go through the estate as well?
Your position as the primary borrower was not affected by your father's co-signing, and you remain liable on the loan. The co-signer's death might be an event of default on the loan, since the lender apparently relied to some extent on the strength your father-in-law brought to the account.
In such a case, a lender would pursue repayment in a logical order, starting with the lowest perceived level of difficulty. That means that you get the first opportunity to receive the bank's requests or demands for repayment. Under normal circumstances, the bank will file a claim against the estate if it is unable to obtain payment from you, and will do so within the deadline for filing such claims established by the probate court under state law.
However, make no mistake about it. You will be considered the primary obligor and you can plan on hearing from the lender as it attempts to collect on the loan.
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Your position as the primary borrower was not affected by your father's co-signing, and you remain liable on the loan. The co-signer's death might be an event of default on the loan, since the lender apparently relied to some extent on the strength your father-in-law brought to the 