One of the most important parts of probate is handling debts and expenses correctly. Families often worry that creditors will come after them personally or that they must pay bills out of their own pockets. Washington law provides a structured process for notifying creditors, reviewing claims, rejecting improper debts, and protecting the estate from long-term liability.
This page explains how creditor claims work in Washington probate and what personal representatives must do to comply with state law. Proper notice is central to the process. When done correctly, it limits who can collect money from the estate and prevents late claims from causing problems years later. When done incorrectly, it can expose the estate and the personal representative to avoidable risk.
Pacific Northwest Family Law helps personal representatives handle creditor matters efficiently and confidently. With the right guidance, you can protect the estate, avoid mistakes, and complete probate without unnecessary delays.
➡ If you would like to know more about how assets are handled and distributed, you can visit our page Estate Assets, Real Estate, and Property Transfers
➡ For more general information about the probate process, see our page Probate in Washington State
Myths and Misconceptions About Creditor Claims in Washington
Myth: “Creditors can take whatever they want from the family.”
When proper notice is published under RCW 11.40.020, creditors have limited rights and must follow strict deadlines.
Myth: “Medical debts automatically pass to the surviving spouse.”
Spouses are not automatically responsible for each other’s medical bills. Claims must be filed against the estate and follow RCW 11.40.051.
Myth: “If a creditor sends a bill, you must pay it immediately.”
Personal representatives should not pay debts before publishing notice, reviewing claims, and confirming the estate’s solvency.
Myth: “If the estate has no money, you have to pay the debts yourself.”
Debts remain with the estate. Personal representatives are protected when they follow the priority rules in RCW 11.76.110.
Myth: “Collectors can keep trying to collect for years.”
Most creditor claims are barred if not filed within the four-month period after published notice under RCW 11.40.051.
Starting the Creditor Claim Process
How does the personal representative notify creditors?
The representative must publish a notice to creditors in the legal newspaper for the county under RCW 11.40.020. This starts the four-month claim period. Direct notice should also be sent to known creditors to shorten their claim window.
Why is published notice so important?
Published notice protects the estate by limiting the time creditors have to file claims. Without it, creditors may have up to two years to pursue payment against the estate under RCW 11.40.030. Proper notice speeds up probate and prevents long-term risk.
Do all creditors have to receive direct notice?
Only creditors the representative actually knows about must receive direct notice. Known creditors who receive direct notice must file claims sooner than creditors who only see the published notice.
➡ For more information about what to expect during probate, visit our page Probate Process and Timeline
Filing, Accepting, and Rejecting Claims
How long do creditors have to file claims?
Most creditors must file within four months of publication under RCW 11.40.051. If they miss the deadline, their claims are usually barred. This timeline is critical to determining when distributions can occur.
How does a personal representative review claims?
They must confirm whether each claim is valid, documented, and owed by the estate. Claims should be compared with account statements, contracts, or medical billing records. Representatives must act carefully because improper payments can create liability.
Can a personal representative reject claims?
Yes. Claims can be partially or fully rejected under RCW 11.40.080. Rejected creditors then have a limited amount of time to file a lawsuit or their claim becomes final.
What if a creditor disputes a rejection?
Disputes can be resolved through negotiation or under TEDRA procedures if litigation becomes necessary. Courts may become involved if a creditor challenges validity or priority. Accurate records help resolve these conflicts efficiently.
➡ For more information about how probate disputes are handled, see our page Contested Wills, Estate Disputes and TEDRA Litigation
Priority of Debts and Special Categories of Claims
What debts get paid first?
Washington’s priority statute in RCW 11.76.110 lists the order in which debts must be paid. Costs of administration, funeral expenses, and federal taxes are typically higher priority. Lower-priority claims may not be paid if the estate is insolvent.
Are funeral expenses paid from the estate?
Yes. Reasonable funeral and burial costs are valid estate expenses. They are considered priority debts and should be paid before general unsecured creditors.
How are medical bills handled?
Medical providers must file claims like any other creditor. The estate pays valid claims according to statutory priority. Bills should not be paid before notice to creditors unless required to protect the estate.
What about final utility bills, rent, or credit cards?
These are unsecured debts that must be reviewed and accepted or rejected individually. They do not receive special priority. Only valid claims should be paid.
Insolvent Estates and Complex Debt Situations
What if the estate does not have enough money to pay all debts?
An insolvent estate must follow the priority rules in RCW 11.76.110. Lower-level creditors may receive partial payment or nothing at all. Personal representatives must avoid paying debts out of order.
Is the personal representative responsible for unpaid debts?
Not if they follow Washington’s statutory procedures. Personal representatives can be personally liable only if they make improper payments or distribute assets too early under RCW 11.40.100.
How do you handle secured debts like mortgages or car loans?
Secured creditors have rights tied to the property itself. The personal representative must determine whether to pay the debt, sell the property, or allow repossession depending on estate needs.
➡ If you are interested in learning more about how property is handled, visit our page Estate Assets, Real Estate, and Property Transfers
What if the deceased person had tax issues?
Tax authorities must file claims like other creditors. Federal or state tax debts often receive higher priority and must be reviewed carefully. Personal representatives should not distribute assets until tax matters are resolved.
Disputes and Litigation Involving Creditor Claims
What happens if heirs disagree about paying certain debts?
The personal representative has final authority to decide how claims are handled, subject to fiduciary duties. Disagreements can be resolved through discussion or TEDRA procedures. Court involvement may be necessary if heirs challenge decisions.
Can beneficiaries stop a creditor from filing a claim?
No. Creditor rights are separate from beneficiary rights. Heirs cannot block the filing of valid claims or require payment of invalid ones.
How are aggressive or abusive collectors handled?
Collectors must follow probate rules and timelines once notice is published. The personal representative, not family members, should respond to collection attempts.
How Pacific Northwest Family Law Helps
Managing creditor claims is one of the most technical parts of probate, and mistakes can have lasting financial consequences. We help personal representatives publish notice correctly, evaluate claims, reject improper debts, and follow Washington’s priority rules. Our goal is to protect the estate and the personal representative from unnecessary risk.
If disputes arise or if the estate is insolvent, our attorneys guide you through the legal procedures needed to complete probate safely. Whether your estate involves medical bills, tax issues, aggressive creditors, or unclear obligations, our firm provides the clarity and support needed to move forward with confidence.
Reviewed by Attorney Zachary C Ashby, Pacific Northwest Family Law, December 2025.