Detailed Answer
After someone dies in Indiana, the personal representative (executor or administrator) must identify and notify creditors, review claims, and settle debts before distributing assets. Indiana law provides clear rules under IC 29-1-14 for both supervised and unsupervised probate proceedings.
1. Choose Supervised vs. Unsupervised Administration
Indiana offers two paths: a fully supervised estate with court oversight or an unsupervised estate with limited court involvement. Unsupervised administration can be more streamlined but still requires creditor notice. See IC 29-1-2.5 for definitions and eligibility.
2. Appoint a Personal Representative
File a petition in the county probate court where the decedent lived. The court issues Letters Testamentary or Letters of Administration, authorizing you to act on behalf of the estate. This appointment starts the deadline clocks for creditor notices.
3. Notify Known Creditors by Mail
Within 30 days of your appointment, send each known creditor direct written notice. Include the name and address of the estate, the filing deadline, and a copy of the notice form. Mail or deliver this notice as required by IC 29-1-14-3.
4. Publish Notice for Unknown Creditors
Publish a notice in a local newspaper once each week for three consecutive weeks. The notice must include the estate name, your name as personal representative, the probate court’s name, and a deadline for filing claims. Publication satisfies notice to creditors you do not specifically know.
5. Observe Deadlines for Claim Filing
- Known creditors must present claims within six months after the date of first publication or within two months after they receive direct mail notice, whichever is later.
- Creditors without direct notice have two months after the last publication to file their claims.
- Regardless of notice, no claim may be filed after two years from the decedent’s date of death. See IC 29-1-14-4.
6. Review, Allow, or Object to Claims
When a claim arrives, verify its validity—matching debt to estate assets. If you agree, allow payment. If you dispute it, file an objection with the court and schedule a hearing. Document every decision in the estate file.
7. Pay Valid Claims and Distribute Assets
Use estate funds to pay approved debts in order of priority (administration costs first, then secured claims, then unsecured). After settling claims, prepare a final accounting and distribute any remaining assets to beneficiaries under the will or state law.
Helpful Hints
- Keep a master list of all potential creditors and record when you mailed or published notice.
- Track publication dates carefully—missing a week can restart the timeline.
- Respond promptly to any creditor inquiries to avoid disputes.
- Consult the probate court clerk for local forms and filing fees.
- Maintain organized records of all notices, claims, and court filings.
Disclaimer: This article is for informational purposes only and does not constitute legal advice. Consult a qualified Indiana attorney to discuss your specific situation.