Dealing with debts and next of kin.

jay213

My mother passed away just over a month ago unexpectedly. I want to know what debts etc need to be paid. She had a small amount of money in the bank that was used to pay for her funeral costs. There is around or just under £2000 left over, my brother believes that we do not have to pay any debts as they were my mums debts and wants to split the money between all of us (6 of us). My mum didn’t own her own house and was on benefits and ESA as she was sick.

I’ve said that we will definitely need to pay some and maybe not others like old catalogues but I’m not sure? My siblings think I’m being difficult and my brother nearly wanted to fight me when an argument started after starting to argue about how the money should be dealt with (e.g I was saying funeral costs, debts and then share out after). My mum didn’t leave a will and as the eldest I have tried to sort a few things like registering the death and going with my brothers and informing the bank, upon closing her account they transferred my mum’s funds to me as I gave my details. Does that make me the person that will get chased for the little money left in her bank account?

My mum received ESA and other benefits, I see from her statement that she received payments in her account 3 days after she died, from ESA and child benefit. I also see that she got a ESA payment on the day that she died. I’m assuming these will need to be paid back, or at least the ones made after she died?

Debts I think my mum might have would include water, old catalogues(that’s passed to debt collectors or management companies) I’m not sure if there will be electric debts (she had a key meter) or gas bills (had gas card)when switched over to another brother? I think there was a council tax bill. These are just some of the things I can think of?

My siblings don’t seem to be that bothered about ramifications related to not paying the debts and I feel like I’m the bad guy. I’m wondering if anybody else can be the next of kin etc since I seem to be the only one worried about companies expecting money. My mum also had an insurance policy where we’re not too sure if it will pay out which I also completed, I’ve got a lot of my information online and if we do get the insurance somebody would have to get probate from the court to claim on the policy, as I filled out the application as the main person, but included my sibling’s details would another sibling be able to go for probate and claim on the policy instead?

-taff

Your mothers assets first go to the funeral, then they pay the debts, then any remaining is split between beneficiaries.
As you hold the money, they'll come to you for this, so don't listen to your brother, get in touch with the DWP regarding the overpayment of benefits.

I doubt he'll be putting his hand up saying let me pay when they come calling.

Better advice to follow I'm sure.

securityguy

"my brother believes that we do not have to pay any debts as they were my mums debts and wants to split the money between all of us"

Your mother's money needs to pay your mother's debts. The liability of her estate is limited to the value of her estate (ie, if there isn't the money to pay the debts, that's the end of it) but the money in the estate cannot be given to relatives until the debts have been paid.

"I was saying funeral costs, debts and then share out after"

That's exactly right.

The issue of ESA and so on having been at or around the time of death requires someone who understands benefits.

Newly_retired

Any benefits overpaid, I.e. Paid out after death, will need to be repaid. DWP will inform you.
The insurance may have been designated for a specific person, you need to check this. If not, it will form part of the estate.
For now, you should concentrate on listing all the assets of the estate.
Also finding out how much is owed in debts.
It sounds as though there may not be enough money to pay all the debts. You cannot pick and choose which ones you pay. The estate is responsible for the Debts, not you personally. You might be better opening a separate account for the estate, so it does not get mixed up with your own money. You should certainly not be paying out to any relatives until the debts are sorted. If you do, the creditors could chase you for the money.

jay213

My brother can't seem to understand that this is the case and is basically implying through his behavior over the phone after passing the phone to his gf as he can't communicate pass a certain point where he's getting angry, that there will be violence and that he would attempt to have my brother taking over my mums house to throw me out (I don't think my other brother would do that, but they are closer). Some people have said to just give him a share to get him of our back, as he keeps on coming to the house (he's been yesterday and he's there today waiting apparently). He has an extensive criminal history and is hot tempered person who doesn't take responsibility for his actions, as well as a bully. Any advice on how to deal with this as I don't want to be fighting and getting any convictions as I have a clean record that I want to maintain.

Mojisola

jay213 wrote: »

My brother can't seem to understand that this is the case and is basically implying through his behavior over the phone after passing the phone to his gf as he can't communicate pass a certain point where he's getting angry, that there will be violence and that he would attempt to have my brother taking over my mums house to throw me out (I don't think my other brother would do that, but they are closer).

Some people have said to just give him a share to get him of our back, as he keeps on coming to the house (he's been yesterday and he's there today waiting apparently).

He has an extensive criminal history and is hot tempered person who doesn't take responsibility for his actions, as well as a bully. Any advice on how to deal with this as I don't want to be fighting and getting any convictions as I have a clean record that I want to maintain.

Contact the police. If he doesn't back off after they have a word, you might need to get a restraining order.

Tell the people who are saying to give him some money that if you do, you will have to pay your mother's debts out of your own money!

If sounds as if your mother's estate is insolvent - the usual advice is not to get involved if this is the case but as you have already taken it on, you must finish the job according to the law.

https://bereavementadvice.org/topics/probate-and-legal/insolvent-estates
https://www.moneyadviceservice.org.uk/en/articles/dealing-with-the-debts-of-someone-who-has-died

Yorkshireman99

jay213 wrote: »

My brother can't seem to understand that this is the case and is basically implying through his behavior over the phone after passing the phone to his gf as he can't communicate pass a certain point where he's getting angry, that there will be violence and that he would attempt to have my brother taking over my mums house to throw me out (I don't think my other brother would do that, but they are closer). Some people have said to just give him a share to get him of our back, as he keeps on coming to the house (he's been yesterday and he's there today waiting apparently). He has an extensive criminal history and is hot tempered person who doesn't take responsibility for his actions, as well as a bully. Any advice on how to deal with this as I don't want to be fighting and getting any convictions as I have a clean record that I want to maintain.

Go to the police now. Don't be bullied. The police take this sort of thing seriously these days.

theoretica

If debts did not need to be paid after death think what would happen. Someone who thought they might die soon might take out a large loan just because they could and wanted their children to have it and it woudn't be paid back from the money in the bank. Then the banks and catalogues would be petrified about lending to old or poorly people.

-taff

jay213 wrote: »

My brother can't seem to understand that this is the case and is basically implying ... that there will be violence and that he would attempt to have my brother taking over my mums house to throw me out

If your mother didn't own her house he can't throw you out can he?

And yes, get the police involved.

marliepanda

£2000 between 6?

He's kicking off about not getting £333?

Malthusian

marliepanda wrote: »

He's kicking off about not getting £333?

From the description of his behaviour this doesn't surprise me at all.

Call the police, refuse all further contact with him (and the gf). I wouldn't speak to the people suggesting you give him money either. I don't know who they are or why they would make such an idiotic suggestion but it is unlikely they have your interests at heart.

If your only worry about violence is a criminal record then you should have little to worry about. Self-defence is legal and if you don't do anything to provoke him and avoid meeting him in a private place, then a criminal record is highly unlikely.