Pros and Cons of Pre-Paid Funeral Plans

margaretclare

I phoned after getting a flyer about one of these schemes (think it was from AgeConcern, now AgeUK).

From what was said, I gathered there was an assumption that it would be cremation.

I realise that cremation is fast becoming the norm - approx 80% of funerals, according to a friend who works as a funeral director. But it isn't what we want, so I said 'thanks but no thanks'.

Stuart_W

Funeral Bonds are available for burials.

One example from The Co-op
http://www.co-operative.coop/funeralcare/funeral-plans/Choosing-the-right-Funeral-Plan/Set-Burial-Plans/

There is also a more bespoke service if one of the set plans doesn't suit.

Other providers may not be as flexible but certainly your local co-operative society should be able to offer extensive information. I couldn't get a huge amount of information from the Age UK site about theirs - you may be right. The co-operative Group's website has very thorough information, or you can request a detailed information pack.

datostar

margaretclare wrote: »

I phoned after getting a flyer about one of these schemes (think it was from AgeConcern, now AgeUK).

From what was said, I gathered there was an assumption that it would be cremation.

I realise that cremation is fast becoming the norm - approx 80% of funerals, according to a friend who works as a funeral director. But it isn't what we want, so I said 'thanks but no thanks'.

I think it's difficult for them to predict burial costs because they can vary so much ( charges for municipal cemeteries, vis a vis churchyards etc.) but most can accommodate burials in conjunction with a plan by charging for the extras when the time comes. This means that most of the expense is still covered by the plan so it doesn't completely negate their value.

Lost2

I have opened a savings account called my funeral money
I put £100 in to it every month,I am only 56 but because
of my condition I could pop my clogs at anytime.
I have told my OH that I want the cheapest funeral money can buy

Newly_retired

Correct me if I'm wrong but isn't there a possibility that if you live a long time you could end up paying far more into a plan than the actual costs of the funeral?

[Deleted User]

Hi,

Stuart_W wrote: »

My wife and I (both in our 30's) are currently paying monthly instalments for a funeral bond and will have soon completed this.

just can't see the point of somebody so young taking out this kinda plan,

Newly_retired wrote: »

Correct me if I'm wrong but isn't there a possibility that if you live a long time you could end up paying far more into a plan than the actual costs of the funeral?

[Deleted User]

Hi,

Lost2 wrote: »

I have opened a savings account called my funeral money
I put £100 in to it every month,I am only 56 but because
of my condition I could pop my clogs at anytime.
I have told my OH that I want the cheaps funeral money can buy

gosh, this £100 a month, hope it's not going into one of the funeral plans, paying for Michael Parkinson's benefit, did you get a free telly?

Biggles

There are so many reasons not to pour money down the drain for something like this.

There is no 'hassle' or worry for relatives, the bank will free up your funds in advance of probate in order to pay for the funeral. And as regards producing death cert, will etc, they're going to have to do that anyway.

If you think your estate will leave no money when you have died (ie no cash and you don't own a house), then why on earth stretch yourself to pay for a funeral now? If your executor doesn't have enough funds to pay for your funeral, he can get a funeral payment from the state.

And it certainly won't save money overall. The only reason people operate these schemes is - guess what? - to make money!

You are much better off enjoying your money, and investing it if it's spare, than worrying about what's going to happen after you're gone.

Debras_Angel

This is one of those questions that isn't easy to answer as it depends on the circumstances.

I am encouraging my brother to do one of these plans or some insurance as he has no savings or anything to cover his funeral.

He is my younger brother (both in our early 50's) and it's very possible because of health issues he may go earlier.

Whilst I love my brother, I don't see why I should pay for his funeral. I wouldn't expect anyone to pay for mine and have made provision for this, although not thru any plans.

Lost2

[Deleted User] wrote:

Hi,



gosh, this £100 a month, hope it's not going into one of the funeral plans, paying for Michael Parkinson's benefit, did you get a free telly?

No frugalmacdugal, It's a savings account that I have opened
Hopefully I might get some interest