Debt after death?

[CalamityJane75]

I've been a lurker for many years and seen how helpful everyone can be so I'm hoping for some advice that I can't seem to find in RL.
My grandparents are both not in great health sadly, both with dementia among other things. My mum is one of 4 children but like many families there has been a falling out among the siblings and only my eldest aunt has power of attorney for them, (if the church needed another martyr she would put her name forward!) it became aparant at our weekly visit to my grandparents todays that they were both worried about money and a few scary details have come to light today that we are now dealing with, my DM is now in utter panic about what happens to the debt that her sister has racked up in her parents names if the worse should happen. Do any of you lovely lot know the answer, I'm hoping you do as information online is very confusing at best! We're in Scotland if that makes any difference.

Sorry for the long post, didn't realise the length until I reread!

My understanding is the debt dies with you ( once any assets set against it)

Has there been fraud?

I didn't think that power of attorney meant you were allowed to spend all their money! Pretty sure that's illegal in any country, if it hasn't been spent directly on the GP's needs / commitments. (I'm going off to google)

Just had a quick look. Firstly - anyone with PoA must keep detailed and accurate records.
Would your aunt be the executor of the estate when your grandparents pass on? because she would also then be in charge of paying off any debts against the value of the estate.
Once the estate / money is gone, it's gone. Your mum wouldn't then be liable to pay anything out of her own pocket, if that's what is worrying her.
www.publicguardian-scotland.gov.uk/power-of-attorney
/www.thegazette.co.uk/wills-and-probate/content/100280

Debts are settled out of estate before any bequests - if no money in estate debts die also - they are not settled by relatives

They don't own their own home, never have. They are currently in very sheltered housing but they are going to end up needing a care home in the near future by the way things seem just now. There's no savings at all, the little pot they did have had been long gone since aunt has gotten involved. If there no estate what happens then?
I've had concerns for about a year but only after today when the sheriff officer came to my grans door with a parking fine for my grandas disability car, that he himself has never driven as he lost his licence over a decade ago due to ill health, did we realise how bad it maybe is. To be clear the car is in my aunts possession as she is meant to take them out to appointments and for shopping etc in it but rarely if at all does.

Thank you for the information super, it's much appreciated 💐

You might like to post in legal, op.

I'd also make an appt with the police to discuss with them your options.

This is financial abuse and legal action needs to be taken!

Your aunt is not fit to be POA.

It sounds like your aunt has been abusing her position of trust if she has been spending your gps money/ using their possessions for her personal benefit.
Not sure about Scotland - but do you have a Pova team in your local social services dept ?

I'm sorry this is happening but this is financial abuse of your grandparents. Please contact the police especially if you/your grandparents have evidence as in paperwork etc. Also please contact the Safeguarding Team at you local council to discuss with them. They will be able to provide you and more importantly, your grandparents with advice, support and potentially intervention.

Help the Aged will have the best advice.

Now called AgeUK I think.