A friend of mine had just lost his father last week to a sudden heart attack.

1st problem is his father has RM5k of credit card debt.
He plans on continuing to make payments to the card monthly as fast as he could until the amount is paid off.

2nd problem is his car was registered and insured under his father's name as well as the loan which was also financed under his father's name.
But the monthly installment was paid by him since he started working last year. He will continue doing so because it's his car, he's the one who's been driving it.

So for both cases what should he do? Should he informs the bank about his father's death?
He's afraid of informing the bank because he thought the bank might ask him to pay off the debt and the loan in lump sump.
What is the process/procedure to handle this kind of cases?

Thank you.

i pondered about this as well....

coz recently a lot of ppl from banks call up with this plan to insure your credit cards in the event of your quote "touchwood death due to accident"......

so if your family don't need to pay off your debts, then why these banks can make $$ off such products?

when asked further, they always say......"so that your immediate family members don't need to be burdened by your debts"  - not that i have debts anyway 

so...question is, are the banks misleading you / providing false information?