Can anyone help?

Tiddlywinks

You need to keep your and your OH's personal obligations separate from the estate obligations in order to sort this out.

Everything left that was owned or owed by your OH's mother forms part of the estate.

All assets should be valued and all debts fall due from the proceeds of the estate... you can't just write them off because you don't have any ready cash.

Also, it is really important that you get these assets valued (including jewellery etc) as these may impact on any benefits your OH is claiming.

You really can't sort this out just by using advice on this forum... you need to seek professional advice.

For instance, I cannot believe the mortgage company would let you take a payment holiday for the inherited house... if the mortgagee was solely your OH's mother then the contract ceased when she died and they will want to secure their position.

Too much of your post is confusing and doesn't add up... if you aren't clear with the facts then you will get red herring advice.

reece240692

~Beanie~ wrote: »

Life insurance certainly isn't mandatory, I've got a mortgage and haven't got any. If there isn't any I would imagine that eventually the house would have to be sold to repay the mortgage but a 12 month payment holiday should definitely give you some breathing space.

If the credit cards are in your OH's mums name, you need to advise them that she has passed away (probably need to send a copy of the death cert) and let them know that you are waiting for probate.

Are you or your OH claiming any benefits at the moment with you both not working? If not, you should look into it ASAP.

I'm not looking to claim benefit for myself at this time because I am due to get on a level 4 Apprenticeship Scheme with my local College within the next couple of weeks, I have been looking for other work and have as yet been unsuccessful, I have even looked at Self-employment as an option but decided against it due to the risk of increased Debt.

my OH on the other hand has been claiming income support for the last 5 months due to her previously being a full time student during the bereavement, which will (as far as I'm aware) cease when the Jobcentre find out she's no longer a full-time student and my other half may have to then claim JSA or Incapacity Benefit, She has looked into all of this but she tells me that the Jobcentre have assessed her and have subsequently told her that no benefit is claimable at this time for her.

We have made the Credit Card Companies aware of the situation and they've agreed that they may write off one of the Credit Cards, but they say she owes too much on the other one and must make some sort of payment.

reece240692

Tiddlywinks wrote: »

You need to keep your and your OH's personal obligations separate from the estate obligations in order to sort this out.

Everything left that was owned or owed by your OH's mother forms part of the estate.

All assets should be valued and all debts fall due from the proceeds of the estate... you can't just write them off because you don't have any ready cash.

Also, it is really important that you get these assets valued (including jewellery etc) as these may impact on any benefits your OH is claiming.

You really can't sort this out just by using advice on this forum... you need to seek professional advice.

For instance, I cannot believe the mortgage company would let you take a payment holiday for the inherited house... if the mortgagee was solely your OH's mother then the contract ceased when she died and they will want to secure their position.

Too much of your post is confusing and doesn't add up... if you aren't clear with the facts then you will get red herring advice.

Thanks for the advice, and apologies for the confusion as I'm simply passing on information from my other half.

We don't have many assets previously belonging to my OH's mother that hold much value apart from her Car, which isn't worth much money at all.

We have been seeking advice from the CAB, who have advised us up to this point, who have advised us that once probate is obtained, all debts fall on my OH and not the estate, because the estate doesn't have enough money in it.

ap1986

~Beanie~ wrote: »

Life insurance certainly isn't mandatory, I've got a mortgage and haven't got any..

Thank you for clearing that up and I apologise for giving crud info!

So, are the debts (credit cards, council tax etc.) in your OHs name or her mothers name? Or have I missed you giving a definite answer?

Tiddlywinks

reece240692 wrote: »

We have been seeking advice from the CAB, who have advised us up to this point, who have advised us that once probate is obtained, all debts fall on my OH and not the estate, because the estate doesn't have enough money in it.

I don't think they did say that as that is NOT what happens... and that is why you need to get proper professional help. You don't appear to understand anything of probate.

Have you read the forum guides that were linked by another poster yet?

Your OH is charged with sorting out the assets minus the debts... at this stage her personal circumstances are entirely irrelevant.

The house is an asset... how much equity is in the property?

I cannot see the credit card companies writing off any debt if there is equity in the property... I think there must be otherwise the mortgage company would be pressing for a sale to limit their exposure.

In negotiating with the creditors you will need to be honest about the assets and worth of the estate - as I said, it is not just the money that matters. Being less than honest with them is fraud... ignorance of the rules etc will not be a valid excuse.

So, for the purposes of the estate, your and your OH's circumstances don't figure.

You need to add up the value of all assets from your OH's mother's estate and identify all liabilities - that means an advert in the papers. Only once all debts have been paid will you know the value of any inheritance.

By the way, what interest / rent is the mortgage company levying during this repayment holiday?

reece240692

Tiddlywinks wrote: »

I don't think they did say that as that is NOT what happens... and that is why you need to get proper professional help. You don't appear to understand anything of probate.

Have you read the forum guides that were linked by another poster yet?

Your OH is charged with sorting out the assets minus the debts... at this stage her personal circumstances are entirely irrelevant.

The house is an asset... how much equity is in the property?

I cannot see the credit card companies writing off any debt if there is equity in the property... I think there must be otherwise the mortgage company would be pressing for a sale to limit their exposure.

In negotiating with the creditors you will need to be honest about the assets and worth of the estate - as I said, it is not just the money that matters. Being less than honest with them is fraud... ignorance of the rules etc will not be a valid excuse.

So, for the purposes of the estate, your and your OH's circumstances don't figure.

You need to add up the value of all assets from your OH's mother's estate and identify all liabilities - that means an advert in the papers. Only once all debts have been paid will you know the value of any inheritance.

By the way, what interest / rent is the mortgage company levying during this repayment holiday?

My OH tells me that she doesn't know what interest the Bank is Levying during the repayment holiday because nobody has mentioned it to her.

What do you mean by "An advert in the papers" By the way?

I'm sorry for the confusion as this is all new to my OH and she's finding it a little bit Complicated, so please bear with us.

Also, at the moment we don't know how much the house is worth because we havent had it valuated.

Tiddlywinks

reece240692 wrote: »

My OH tells me that she doesn't know what interest the Bank is Levying during the repayment holiday because nobody has mentioned it to her.

What do you mean by "An advert in the papers" By the way?

I'm sorry for the confusion as this is all new to my OH and she's finding it a little bit Complicated, so please bear with us.

Also, at the moment we don't know how much the house is worth because we havent had it valuated.

Ad in the papers? READ the guides instead of asking lots of questions where you only give half of the story.

I'm sorry if I sound curt but I cannot understand how you don't see the seriousness of the situation. A random question and answer session with strangers on a debt forum is not going to solve this. Your OH needs to get on top of this.

If you haven't had the house valued yet how can you possibly ask the credit card company to write off any liability.

Also, the mortgage company won't be letting you live there rent and fee free will it? Those charges are really important - ask the question.

Why haven't you had the property valued? That is easy to arrange. Look on Rightmove to find a ballpark figure to help you in the meantime - you can do that in minutes!

reece240692

ap1986 wrote: »

Thank you for clearing that up and I apologise for giving crud info!

So, are the debts (credit cards, council tax etc.) in your OHs name or her mothers name? Or have I missed you giving a definite answer?

they are in her mother's name =]

reece240692

Tiddlywinks wrote: »

Ad in the papers? READ the guides instead of asking lots of questions where you only give half of the story.

I'm sorry if I sound curt but I cannot understand how you don't see the seriousness of the situation. A random question and answer session with strangers on a debt forum is not going to solve this. Your OH needs to get on top of this.

If you haven't had the house valued yet how can you possibly ask the credit card company to write off any liability.

Also, the mortgage company won't be letting you live there rent and fee free will it? Those charges are really important - ask the question.

Why haven't you had the property valued? That is easy to arrange. Look on Rightmove to find a ballpark figure to help you in the meantime - you can do that in minutes!

I'm sorry but this is a lot for me and my other half to take in, we don't 100 percent understand everything and we don't know 100 % exactly what we're supposed to be doing, which is why I've posted on this forum to get a bit of direction, both me and my OH fully understand the seriousness of the situation and if you find yourself incapable of providing a helpful and (if it won't kill you) friendly bit of advice then no offense, but I'd rather you didn't provide any.

Tiddlywinks

As has been said, this is not the best place to get advice on dealing with probate... this is the wrong forum.

You have already posted on the more appropriate Deaths / funerals board where you are more likely to get relevant advice.

You need to research and read the background yourself - not have everyone spoon feed according to your questions:

Here are the relevant links:

https://forums.moneysavingexpert.com/discussion/4216467

https://www.gov.uk/wills-probate-inheritance/overview

http://www.justice.gov.uk/courts/probate

http://www.lawsociety.org.uk/for-the-public/common-legal-issues/probate/

http://www.theguardian.com/money/2013/feb/15/dealing-with-probate-in-2013

Once you've read these and researched further you will be able to ask questions based on a level of knowledge necessary to understand the answers.

I do understand how stressful it is but you have to do the research... no-one understands the situation at the moment and you don't have the relevant information.

Getting only half the story can be a very dangerous thing when dealing with legal matters.