Intestacy and mental capacity

Humblepie

My mum recently passed away without a will and my brother and I are due to inherit. However, my brother is in a residential care home with schizophrenia. He is not capable of managing his money. Would the money from the estate be used to pay for his care and who would be responsible for managing his money?

Thanks 

Mojisola

Who is managing his money now?

It's likely that he will have to pay or contribute towards his care once his inheritance comes through if the council are currently paying for him.

Humblepie

I'm unsure who's managing his finances. Haven't had a lot to do with him because he was violent during my childhood. 

Malthusian

Ask the care home - they will be able to put you in touch with whoever is managing his finances. The executor (you?) will need to liaise with them.

Mojisola said:

It's likely that he will have to pay or contribute towards his care once his inheritance comes through if the council are currently paying for him.

Not necessarily - if he's been sectioned against his will the NHS pays under "continuing care" rules.

Mojisola

Malthusian said:

Ask the care home - they will be able to put you in touch with whoever is managing his finances. The executor (you?) will need to liaise with them.

Mojisola said:

It's likely that he will have to pay or contribute towards his care once his inheritance comes through if the council are currently paying for him.

Not necessarily - if he's been sectioned against his will the NHS pays under "continuing care" rules.

Then it wouldn't be the council who are paying for his care.

xylophone

Presumably the manager of your brother's home has been made aware of your mother's death?

If not, you should advise him/her and explain that your brother is due an inheritance from her estate.

He/she should be able to tell you who is responsible for managing your brother's finances and you will be able to liaise with that person.

elsien

Malthusian said:

Ask the care home - they will be able to put you in touch with whoever is managing his finances. The executor (you?) will need to liaise with them.

Mojisola said:

It's likely that he will have to pay or contribute towards his care once his inheritance comes through if the council are currently paying for him.

Not necessarily - if he's been sectioned against his will the NHS pays under "continuing care" rules.

Again, not necessarily. It’s a bit more complicated than that. And some people in residential care can and do manage their own finances. 
However to answer the OPs question, if the brother can’t manage his own finances then it is most likely that an appointee will be in place. Depending on the size of the inheritance, the appointee may then need to ensure that a financial deputyship is applied for. In my area they work with solicitors to do this. The care home should know who the appointee is.

billy2shots

As the manager of a care home and presuming he lacks the capacity to manage his finances I have experienced the following in similar situations. 

- The court of protection manages the funds and will lease directly with the care home, paying privately for his care/rent until his money falls below the allowed threshold. 

-A private solicitor is used to manage the money and the care home have to request funds. The solicitor charges a healthy sum to manage this money. 


I have been involved in 3 cases where other family members have challenged the award of inheritance to someone who lacks capacity. All 3 challenges failed and the money has found its way to the individual in the care home. 

elsien

The court of protection doesn’t manage the funds. An application is made to the CoP for a financial deputyship. This is where the solicitor comes in if there is no family member willing and appropriate to take on the role. There is a cost implication which is why I said “depending on the size of the inheritance.” 

Full information here.

https://www.gov.uk/become-deputy

billy2shots

elsien said:

The court of protection doesn’t manage the funds. An application is made to the CoP for a financial deputyship. This is where the solicitor comes in if there is no family member willing and appropriate to take on the role. There is a cost implication which is why I said “depending on the size of the inheritance.” 

Full information here.

https://www.gov.uk/become-deputy

In my experience family (or care home appoineeship of which I am 2 clients appointee) is not favoured by social services if there is a social worker involved in the case. This is especially true with large sums of money that a remaining family member believes should be theirs (not saying this is the case with the OP). 
In these cases the Exchequer service from the local authority becomes involved. 

Keep_pedalling

His care costs may actually be covered under section 117 of the Mental Health Act 1983.

https://www.rethink.org/Factsheets/7449/Care%20home%20fees%20-%20who%20pays?%20factsheet#page8