How to verify or contest a creditor’s payoff quote on an estate debt (Idaho)

Short answer: Get the creditor’s payoff quote in writing, demand an itemized charge-by-charge accounting and proof the debt belongs to the estate, compare the quote to account records and the original contract, check whether the creditor filed a formal claim in probate, and, if necessary, file a written objection with the probate court and ask for a hearing. Idaho’s probate statutes govern how claims against an estate are presented and contested; see Idaho Code, Title 15, Chapter 3 (Administration of Estates): https://legislature.idaho.gov/statutesrules/idstat/Title15/T15CH3/.

Detailed answer — step-by-step

Below is a practical checklist and legal roadmap you can follow in Idaho when a creditor gives a payoff quote for a decedent’s debt.

1. Obtain the payoff quote and supporting proof in writing

Ask the creditor to provide a written payoff statement that shows:

the account number and creditor contact information;
principal balance, accrued interest, fees, and the date through which interest is calculated;
itemization of fees, late charges, or collection costs; and
a statement whether the debt is secured by property (e.g., mortgage, vehicle lien) or unsecured.

Do not accept only a verbal quote — you need paper or an email you can save and compare.

2. Compare the payoff quote to estate records and the original contract

Gather the decedent’s documents: the loan contract, last periodic statement, bank records showing recent payments, and any correspondence about default, forbearance, or settlement. Check:

whether the quoted balance matches the last statement plus allowable interest;
if the creditor is charging fees or interest after death that the contract or Idaho law does not permit;
whether payments made before death were properly credited; and
if the debt is secured, whether the creditor’s claimed payoff matches the outstanding lien amount recorded in public records.

3. Demand verification and an itemized accounting

If numbers don’t match or the creditor cannot justify fees, send a written demand for verification and an itemized accounting. For secured debts, request a copy of the recorded mortgage/security instrument and the most recent lien payoff demand. For charged-off or sold accounts, get proof the creditor owns the debt (assignment or bill of sale) and a chain of title for the obligation.

4. Check whether the creditor has filed a claim in probate

In Idaho probate, creditors typically must present claims against the estate to the personal representative and/or file them with the court following the statutory procedure. Review the probate file (visit the probate clerk where the estate is opened) to see whether the creditor filed a formal claim and how it was described. The probate code governs allowance, payment priority, and deadlines; see Idaho Code, Title 15, Chapter 3: https://legislature.idaho.gov/statutesrules/idstat/Title15/T15CH3/.

5. Object to the claim early if you believe it’s incorrect

If the creditor files a claim in probate and you are the personal representative, heir, or beneficiary and you believe the quote or claim is incorrect, file a written objection with the probate court before the court allows payment. Common objection bases include:

the amount is inflated;
charges are not authorized by the contract or law;
the creditor cannot prove ownership of the debt;
the debt was paid after death or otherwise discharged.

The court will schedule a hearing if the objection raises a genuine dispute.

6. Use discovery and subpoenas if necessary

If the creditor resists supplying documentation, you can (through the probate court) compel production of account ledgers, the original loan agreement, payoff demands, and assignment documents. Bring any inconsistencies to the judge’s attention at a hearing.

7. Negotiate, mediate, or litigate depending on the dispute

If the creditor’s math is correct but the estate lacks funds to pay, you can negotiate lower payoffs, settlement, or ask the court to allow payment from specific estate assets only. If the creditor’s claim lacks proof, ask the judge to disallow the claim. Many disputes resolve at mediation or by settlement before a contested hearing.

8. Consider statute of limitations and priority rules

Check whether the claim was timely presented, and review priority rules for claims (administration expenses, funeral costs, taxes, secured claims) in Idaho probate law. These rules can affect whether a creditor receives payment from estate assets. The Idaho probate statutes in Title 15 describe claim presentation and allowance procedures: https://legislature.idaho.gov/statutesrules/idstat/Title15/T15CH3/.

Practical example (hypothetical)

Suppose your parent died with a car loan showing a $10,000 unpaid balance on the last statement. A debt buyer emails a payoff quote of $12,500. Steps you take:

Request a written payoff showing how $12,500 was calculated and demand proof the buyer owns the loan (assignment).;
Compare the quote to the loan contract and last statement; check for duplicate fees or interest beyond the date of death;
If the buyer filed a claim in probate, read the claim and, if inaccurate, file a written objection asking for a hearing and production of records;
Seek negotiation — debt buyers sometimes accept less than claimed to avoid litigation; if not, prepare to present evidence in court proving the correct balance or that the buyer lacks standing.

Helpful hints

Always get quotes and communications in writing (email is fine). Keep a dated file with every document.
Collect: death certificate, loan agreement, last statements, bank records showing last payments, and any recorded security interests before disputing anything.
Check public records (county recorder) for recorded liens on real property or vehicles.
Ask the probate clerk which deadlines apply for filing or objecting to claims in that county.
Request itemized accounting of interest calculations and fees; ask the creditor to show how post-death interest is permitted by the contract or Idaho law.
If the estate lacks funds, note that not all claims will be paid in full; talk to the personal representative and the probate court about priority and distribution.
Consider hiring an attorney if the claim is large, if the creditor resists documentation, or if litigation is likely — an attorney experienced in Idaho probate can use court procedures to compel proof.

Where to find relevant Idaho law and court procedures

Idaho Code, Title 15 (Probate and Decedents’ Estates), Chapter 3 (Administration of Estates) is the primary source for claims procedure and estate administration rules: https://legislature.idaho.gov/statutesrules/idstat/Title15/T15CH3/. For local procedures, contact the probate clerk in the county where the estate is opened; many clerks post filing rules and forms online.

Disclaimer: This article is for general information only and is not legal advice. I am not a lawyer. If you need legal advice about a specific estate claim or payoff dispute in Idaho, consult a licensed Idaho attorney who handles probate and estate matters.