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Wills and Probate
Below is our free guide to Wills and Probate. Often people
prefer a Solicitor to deal with the affairs when someone
dies. This is called ‘administering the estate’. Harkin
Lloyd have specialist Solicitors who are only too happy to
help. For a free no obligation discussion call 0151 255 0750
or email us
here
If the
person who has died leaves a will
If the person who has
died leaves a will, it will usually name one or more people
to act as the executors of the will – that is, to administer
their estate.
If you are named as
an executor of a will you may need to apply for a grant of
probate. Harkin Lloyd can help you with this process.
A grant of probate is
an official document which the executors may need to
administer the estate. It is issued by a section of the
court known as the probate registry.
If there
is no will
If there is no will
(known as dying intestate) the process is more complicated.
The Administration of Estates Act 1925 sets out who can act
as administrator - that is, who has the legal right to deal
with the affairs of the person who has died. The
administrator will usually be a close relative of the person
who has died, if there is one. There may be more than one
person who has an equal right to do this.
Anyone who has this
right can apply to the probate registry for a grant of
letters of administration. This is an official document,
issued by the court, which allows administrators to
administer the estate.
In some cases, for
example, when the person who benefits is a child, the law
says that more than one person must act as administrator.
Personal representatives
(PRs)
This means executors
or administrators. If there is more than one personal
representative they must work together to decide matters
between them. Disagreements between personal representatives
can cause delays.
Grants of representation
This includes grants
of probate (when there is a will) and grants of letters of
administration (when there is no will). Often people just
refer to probate even if there is no will.
When a
grant of representation is needed
A grant of
representation is not always needed, for example if the
person who died:
■
has left less
than £5000 in total; or
■
owned
everything jointly with someone else.
In other cases, some
financial organisations, such as banks, may agree to pay
funds to a personal representative without a grant of
representation.
Usually, a grant of
representation will be needed when the person who has died
left:
■
more than
£5000;
■
stocks or
shares;
■
a house or
land; or
■
certain
insurance policies.
How to get
a grant
You can ask Harkin
Lloyd to apply for the grant of representation on your
behalf.
Responsibilities of personal representatives
Personal
representatives are responsible for making sure that the
estate is administered correctly. If there is a will, the
personal representative must make sure that the wishes of
the person who has died, as set out in their will, are
followed. If there is no will, you must follow the rules of
intestacy (set out in the Administration of Estates Act
1925). If you have a query in this regard you can ask one of
Harkin Lloyd Specialist Solicitors.
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Do you really need a Will?
The simple answer is "Yes". Every
adult should make a Will and review it regularly, particularly if your
circumstances change, such as getting married, have children or get divorced. If
fact it is important to note that marriage invalidates any Will made before
marriage.
The main reason you need a will is
so that you can decide who should benefit (the beneficiaries) after your death.
If you fail to make a will you are said to have died intestate. Under this
country's intestacy rules the people to whom you would like to leave your estate
may receive little, or nothing at all, and others may benefit whom you did not
wish to do so
The second reason is to avoid
Inheritance Tax. This changes frequently and is presently £275, 000 (as
of 6 April 2005). You need to take into
account your house, furniture, car, savings and all your personal belongings,
plus any death benefits under pension or life policies. There are some simple
things that can be done during your lifetime and under your Will, to reduce or
negate any Inheritance Tax liability.
If you have children then it is
possible to appoint guardians who will be responsible for your children's
upbringing if neither parent is alive, and you can appoint someone you trust to
look after your assets until the children become old enough to take
responsibility for themselves (your trustees).
The cost of making a will with Harkin Lloyd
starts from £58.75. We recommend that you should review your will at least every five
years and after any major life change such as getting separated, married or
divorced, having a child or moving house. It is best to deal with any major
changes by getting a new will drawn up. But it is also possible to make minor
changes (or 'codicils') to your existing will. |
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Inheritance tax
Personal representatives are also
responsible for finding out if inheritance tax is due as a result of a
person’s death. If it is, the personal representative has to make sure that it
is paid.
Whether inheritance tax needs to be
paid can depend on:
■
how much the property and belongings of
the dead person were worth when they died;
■
the value of any gifts that they gave
before they died, and who they gave these gifts to;
■
the value of certain trusts from which
the dead person benefited; or
■
which people benefit under the will or
under the rules of intestacy (the beneficiaries). |
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Likely timescales
Dealing with the affairs of someone who
has died can take a long time. It is not unusual for it to take up to a year,
perhaps longer if things are not straightforward. Many organisations may be
involved in the process, for example,
banks, building societies, insurance companies and HM Revenue and Customs.
The estate cannot be dealt with until all
claims on it have been received. Individuals have six months from the date when
probate was granted to make claims against the estate.
Other things that may affect the time
taken are:
■
whether the financial affairs of the
person who died were in order;
■
what the person who died owned and where
it is;
■
whether the person who died had an
interest in a business or a farm;
■
what the will or the rules of intestacy
say;
■
whether there are any legal disputes
(claims against the estate or claims by the estate);
■
whether inheritance tax needs to be paid;
and
■
making sure that all HM Revenue and
Customs files are closed and that matters relating to income tax, benefits
agencies and pensions have been sorted out.
Arguments between family members,
beneficiaries or personal representatives can also delay matters. Any
disagreements must be sorted out before the affairs of the person who died can
be settled. |
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Costs
Charges can vary and depend on what is
involved in administering the estate. It is often not possible to know
immediately what may be involved and how much advice and help is needed.
However at
Harkin Lloyd we believe our charges are competitive and transparent. We will
advise you what the costs are
likely to be before carrying out any work. You can compare costs by contacting
more than one solicitor. Remember that the cost of dealing with the estate is
usually paid from the estate.
However, cost is not the only
consideration. We believe it is equally important to use a specialist solicitor
who is approachable and sympathetic, and whose advice you understand. |
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