MSE News: Get your affairs in order during free wills month

g6jns_2

Pincher wrote: »

NOT have it registered: because you don't want anybody to find it if you die?

My current Will was "registered" by the solicitor. I expect it's with certainty.co.uk . I suppose you are not obliged to register it by law, but the solicitor basically says it's the standard service they provide, so it's no extra cost. Any changes means a new Will, and another registration. It's not: "Can I cross something out, write something in the margin, and put it back in the filing cabinet?"


Not naming names, but you should see the pressure the senior partner specialising in inheritance was putting on my mother to name his firm as the Executor. The Fees structure was in a separate document, which she was supposed to sign.
Fortunately, I put a stop to it, because I have read of plenty of cases where the Executor's Fees were a percentage of the estate. If you have a £500k house, and £50k cash in savings, it means £55k in Executor's fee, as opposed to hundreds to do a simple Probate. since she hasn't died yet, and houses prices have more than doubled since then, the fee would have been £100k+ by now.

There is something wrong here. No solicitor charges anything like 10% for just doing probate on an estate of that size. In fact the larger the estate value the less the percentage is likely to be since the costs do not rise proportionately to the estate value. The client always has the option to agree the fee on the basis of the work actually done. The percentage might be high on a very small estate because a significant amount of the work involved is the same such as completing the probate forms.

g6jns_2

Crabapple wrote: »

It is almost always going to be more expensive for a Solicitor to be named as Executor in the Will. Best advice, which is always given on here, is to name trusted family or friends (very rare situations a Solicitor may be a better option) who can then decide if they need to get legal advice or help with the administration.

However, it is worth saying that the amount of fees are not going to be in the area of 10%, especially not the larger the Estate gets. Often the ratio of costs to Estate will go down a little in a simple Estate with few assets but high value. You're more likely to end up paying 10% in a small Estate but with lots of fiddly little assets.

If you do name Solicitors they have to make you aware that naming them will be expensive and give you an idea of the costs involved.

Certainty do not hold your Will by the way, they just make a note of where it is held, which will normally be at the Firm who make it for you. So they can get it out at any time and update it as required.

These days because of the use of computers wills are seldom amended but a new one is prepared instead. It is far more efficient than the old method of using codicils that could easily be mislaid.

Errata

My current Will was "registered" by the solicitor. I expect it's with certainty.co.uk

It would appear that all the solicitor has done is inform the commercial company that you have a will.

Pincher

http://www.independent.co.uk/money/spend-save/beware-the-curse-of-the-unwanted-executor-1797246.html


"Will-writing companies, banks and solicitors may be taking consumers for a ride by appointing themselves as executors in the will and charging over the odds for taking an estate through probate."


I frequently come across these articles over the last 30+ years.


I thought it's just as well known as introductory bonuses for savings accounts.

Crabapple

Pincher wrote: »

http://www.independent.co.uk/money/spend-save/beware-the-curse-of-the-unwanted-executor-1797246.html


"Will-writing companies, banks and solicitors may be taking consumers for a ride by appointing themselves as executors in the will and charging over the odds for taking an estate through probate."


I frequently come across these articles over the last 30+ years.


I thought it's just as well known as introductory bonuses for savings accounts.

There are a good few threads in this section mentioning ITC in particular (they've changed their name now I think) and non-regulated Will writers. We absolutely agree with you that appointing a Solicitor is more expensive, just not by how much!

The massive quotes mentioned in the article are for banks and will writeres, and are said to be far in excess of what a high-street Solicitor would charge.

Unfortunately it did used to be the case that Solicitors would happily put themselves into Wills as Executors, but this should be very rare now. I thought this had moved from 'best practice' to an obligation on firms as well but can't find a more recent link.

http://www.lawsociety.org.uk/advice/practice-notes/professional-executor/

Pincher

It's like saying there are no more slavery, pirates don't operate on the high seas, and children are no longer molested. Somebody somewhere is always trying it on. The deceased is hardly going to sue the solicitor, and the beneficiaries suing the solicitor is going to be presented with a Fee document, which the deceased signed and agreed to.