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My sister in law is dealing with that right now, they will send out a letter after the person has passed away and then they want you to explain where the money is like in her problem she was rep payee for her brother and they sent a letter stating someone owes Medicaid $39,000 and they want paid.
So I would explain it to your brother from now on he doesn't touch a dime of her money or otherwise he will have to pay back that money and yes they can put a lien on his house if he has a house.
Prayers
My mother put only my name on everything after my dad died. We consulted an attorney and that is what he recommended. My dad had no will. He wanted to discuss everything and draw up a will but I refused to discuss it. My brother typed a will and wanted me to sign it, but I declined. There is no legal requirement that a person hires an attorney. Self-prepared is valid.