Bond of Caution (Scotland)

Beancounter

As part of the Grant of Confirmation process for my dad's estate I have had to take out a Bond of Caution for the proceeds of the estate.

One condition of this is that I am not allowed to spend any of the money until 6 months after my dads passing and I have put the proceeds of his bank accounts in a seperate account.

As we will hopefully be able to start marketing the flat for sale soon, will we be able to use the cash we have from dad's accounts to pay the upfront marketing fees and the home report as well as the solicitors fee for doing the legal work on the estate or will we be expected to meet that cost from our own funds?

rpc

Are you sure it says you cannot spend any money? More usually, the prohibition is on making any distributions.

The six month bar is there to allow any creditors to appear or anyone who wants to challenge the appointment.

Selling a house isn't a distribution so I would have thought it would be allowed. You could always call the insurer and ask.

Beancounter

rpc wrote: »

Are you sure it says you cannot spend any money? More usually, the prohibition is on making any distributions.

The six month bar is there to allow any creditors to appear or anyone who wants to challenge the appointment.

Selling a house isn't a distribution so I would have thought it would be allowed. You could always call the insurer and ask.

Yeah, the word used was distribute but as I am the only beneficiary that amounts to the same thing.

Were you saying that using the money I have from Dad's accounts for marketing the house etc will be allowed?

Savvy_Sue

If in doubt, phone the insurance company issuing the bond.

My reasoning would go that if there was going to be an eventual 'distribution' to more than one person, then the fact that there's only one of you receiving that distribution means you can use the money to pay legitimate expenses, just as you would if there was more than one of you.