Probate
When a person dies somebody has to deal with their estate (the money, property and possessions left) by collecting in all the money, paying any debts and distributing the estate to those people entitled to it. The term probate often means the issuing of a legal document to one or more people authorising them to do this.
The Probate Registry issues the document, which is called a grant of representation.
There are three types of grant of representation:
1. Probate - issued to one or more of the Executors named in the deceased's Will;
2. Letters of Administration (with a Will annexed) - issued when there is a Will, but there is no Executor named, or when the Executors are unable to apply, or do not wish to be involved in dealing with the estate;
3. Letters of Administration - issued when the deceased has not made a Will, or any Will made is not valid.
The term grant is used in this section to mean whichever type of grant of representation the Executors or personal representatives may need.
The need for a Grant
Organisations holding money in the deceased's name need to know to whom that money should be paid, and the grant is proof that the person named in it may collect the money. The estate left when a person dies passes to the people named in his or her Will. If there is no valid Will it passes to his or her next of kin. The distribution of the estate to the correct people is the responsibility of the person named in the grant. The grant is proof to anyone wishing to see it that the person named in it is entitled to collect in and distribute the estate.
The Executors will need a grant to transfer or sell a property held only in the deceased's name. A house must NOT be advertised for sale too soon after the owner's death as a sale cannot be completed until the Executors have obtained the grant. The date of issue of the grant cannot be guaranteed to coincide with the final stages of any sale.
When a Grant is not needed
Sometimes a grant is not needed and the Executors may wish to ask anyone holding the deceased's money whether they will release it to the Executors without seeing a grant. If they agree they may attach conditions. It is for the Executors to decide which is the cheaper or easier option. The following are examples of when a grant may not be needed:
There are organisations who may release the money to the Executors without a grant if the amount held is small and there are no complications. Among these are Insurance Companies and Building Societies.
The Executors will not usually need a grant when a house is held in joint names and it is clear that the house automatically becomes the property of the surviving owner. If the Executors are in doubt on this point they may need to enquire whether a grant is needed to change the ownership.
Who is entitled to a Grant?
There are rules which govern who may be given a grant, and whether or not one is issued may depend on the circumstances in a case.
If there is a Will with named Executors they are the first people entitled to a grant.
If there are no Executors or the Executors are unable or unwilling to apply, the next person entitled to a grant is any person named in the Will to whom the deceased gives all his estate, or the remainder after gifts have been paid.
If the deceased has not made a valid Will, application for a grant should normally be made by his or her next of kin in the following order of priority:
1. Husband or wife
2. Sons or daughters
3. Parents
4. Brothers or sisters
5. More distant relatives
A grant cannot be issued to any person under the age of 18. If there are no Executors and potential beneficiaries are not sure whether they are entitled to apply they should still complete and return the forms and the Probate Registry will let them know.
When more than one person is entitled to a grant the Executors may all obtain a grant together, however there are a maximum of four applicants allowed. In most cases only one person needs to obtain a grant, but there are circumstances when the Executors and another person may need to obtain a grant together. If this is the case the Probate Registry will let them know as soon as possible after they have received the application.
If the representatives are asked by someone else to apply on their behalf, a note should be sent with the application giving the details of that person, and the reason why they are not applying. If it is not possible to issue the grant to the Executors the Probate Registry will explain the reasons.
How to Apply for a Grant
The five stages for applying for a grant are:
- Obtain the application forms
- Choose where the Executors or Personal Representatives wish to be interviewed
- Complete the application forms
- Return them, with the death certificate and the original Will to the appropriate Probate Registry
- Attend the interview
Need some help with it all? Then call our friendly staff today, we will be pleased to assist.
Don't delay, protect your assets.
Call NOW on: 07967 595454 or contact us today to arrange a Call Back.
Speak to Mat Lee (Head of Wills & Estates)
North Mortgages
