Which debts do I pay

getmore4less

FreeBear wrote: »

Chances are, if he had any money in a current/savings account, the bank would grab that money to offset against the loan (assuming both are with the same bank).

IF there is any funds left in the estate, the sensible thing to do is offer each creditor so many pennies in the pound as full and final settlement after paying out any priority debts (council tax being one).

By the sounds of it, the estate is insolvent, and the standard advice is to leave well alone and let the creditors apply for probate.

council tax sits in the unsecured debt pool it lost any priority years ago along with HMRC.

Don't confuse the term priority used for people in debt used by the likes of stepchange that is not relevant to insolvent estates.

konark

If you are the only beneficiary the Gazette notice will not stop creditors pursuing you as beneficiary rather than executor.

Doubt whether the existing creditors could force the sale of a £575k house for the sake of 8 grand. Just make arrangements with them.

windsorian

konark wrote: »

If you are the only beneficiary the Gazette notice will not stop creditors pursuing you as beneficiary rather than executor.

Doubt whether the existing creditors could force the sale of a £575k house for the sake of 8 grand. Just make arrangements with them.

Thank you, that's just what I thought!

getmore4less

windsorian
(gets confusing when there are two threads running in one)

Unless someone holding an asset asks for a grant you don't need the grant to change the legal owners of the house to just you, a death certificate will do.

A grant and a clean sheet with the debts and HMRC will make life a tiny bit easier for you future executor and the transferable nil rate band.

Not 100% clear if you were living in the house before or moved in since the death and/or if the hubby was living there or somewhere else.

Is there a mortgage?

windsorian

getmore4less wrote: »

windsorian
(gets confusing when there are two threads running in one)

Unless someone holding an asset asks for a grant you don't need the grant to change the legal owners of the house to just you, a death certificate will do.

A grant and a clean sheet with the debts and HMRC will make life a tiny bit easier for you future executor and the transferable nil rate band.

Not 100% clear if you were living in the house before or moved in since the death and/or if the hubby was living there or somewhere else.

Is there a mortgage?

Sorry about the confusion.
I have applied for probate, and when it's granted it will make life easier for my sons, when I go. I will leave a copy of my will plus anything else that's required.
He was living elsewhere and left no money - we'd been separated for quite a few years, but I stayed in our house which we owned as tenants in common; and there's no mortgage on the house, thank goodness.

mum2one

From my experience....

My dad died may last yr, him and mum Owned the house, no mortgage...
Bank account - current act joint - on overdraft
ISA with main bank - 7p
Separate bank account £80
Credit card - main bank 4K
Credit card - 2nd firm 4K
Life insurance (£500)

.....
From notifying companies of his death as although in his will he named mum as executor with me stepping in if she died or couldn't cope...

She couldn't cope.....

Ended up
Main account - joint - name was taken off, mum inherited the overdraft
ISA... the bank claimed that 2wards the credit card
Bank credit card - they were really helpful....wrote off the debt there and then
Credit card 2, a few calls, couple of letters, one form filled in, all clear
Funeral... paid small sum, obtained couple charitable grants, paying rest off.

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