Mother just died, I have no money of my own, what to do

AlAlbert

MovingForwards said:

With utilities and council tax call and explain your mom has died, but you still live in the property. They will close the accounts and wait for payment, opening new accounts in your name; this buys you time to start receiving money.

Good points, thanks. Call me paranoid but I can see any new utility account in my name needing a deposit, and that's not going to happen at the moment.

The problem here is that there are risks with following the rules that I cannot mitigate with the resources available to me. There are unknowns that can only be established after the fact, when it could be too late to cope. On the one hand I don't want to do things the wrong way but, by the same token, I must sensibly and rationally minimise my risk.

MovingForwards said:

Each bank has a bereavement section and it will also say how much the upper limit is for releasing the funds without probate. If the money in the accounts is more than that, you won't get it until producing probate.

Funeral expenses are priority debts to be paid, all debts need to be repaid before you can start to receive what's left afterwards.

Delaying matters isn't helping your situation.

In fact I discovered this morning that the bank has an online procedure for informing them of a death and they will freeze funds regardless. They list reasons to allow funds to be used before probate is received and they do not include living expenses. Obviously, legal or not, it would be truly idiotic for me to allow my household living funds to be frozen in this way.

An even greater annoyance, that I did not predict, is that they will not talk to me at all unless I can prove my identity to their satisfaction. I have no suitable documents that will prove my identity (which is the same problem I have with UC at the moment).

MovingForwards said:

Contact UC, explain the urgency of the situation and say you need an urgent advance as you're without money and I assume without other family able to assist you on a temporary basis. Unfortunately I'm waiting for the call back from them to confirm my identity. I was unable to do it online as I don't have the right documents to satisfy their processes. There is a number to call if I have a query but I rather suspect that this won't expedite the ID procedure.

MovingForwards said:

I do feel for you, it's a dreadful situation you've found yourself in, but you've got to face it.

Thanks. I think I am facing it. I came here to ask for advice, which is facing it, and I have received much excellent advice.

As a result of the advice received here and the research I did as a result, I have also discovered that precisely following the official procedures will leave me much worse off for benefit at all. That makes doing the 'right' thing both unnecessary difficult and very stupid. I'll say that again in another way: Only a fool would make their life unnecessarily difficult unless they were being forced to do so, and I am not currently being forced.

nanapop1977 said:

AlAlbert - bite the bullet and phone the bank's bereavement team. They will guide you through the process of closing the account and accessing the money. You will probably need to email a copy the death certificate/will and it might take a couple of weeks for the funds to reach your account.

As per my comments above, I've discovered that the bank has a set procedure and will only release funds (except for specific, limited, purposes) when probate is granted. That is not something I can reasonably survive.

nanapop1977 said:

If the cash flow situation does end up being a problem for immediate needs( i.e food/personal hygiene products) ask your GP/CAB for a referral to the local food bank and any other local agencies that might be able to support you until you get back on your feet. Do you have a close friend who might be able to offer any moral support?
Losing a parent is always hard whatever the situation, but take one step at a time and most of all, try to take care of yourself  and it will all come together in the end.

Well, cash flow is a problem right now, if I cannot access my mother's funds. Note that I am not wanting for moral support: I came here for practical advice and have received it.

Thanks to everyone for their help!

AlAlbert

gwynlas said:

from the sound of it living in a property that detiorated around you for lack of input though you could have contributed towards funding then you might be better finding a turnkey property.

Thank you for your condolences.
Note that I most certainly did contribute to funding. I spent my savings on contributing to household expenses of all sorts which is, as I said, why I have no money of my own now and why my mother still did have have some money at the time of her death. Indeed, some of the expenses I spent my own money on were household repairs and maintenance. Small jobs I could and did do myself such as pipe soldering repairs and leak repair, some window repairs, and door repairs. Bigger jobs were beyond my ability to do myself as well as being beyond my financial means or my mother's financial means to pay for. We simply had to accept that the property was deteriorating. For my mother, moving was emotionally impossible (physically impossible latterly), even though it could in theory have freed up some capital.

Username03725

As you're sole executor and beneficiary, no-one else is going to challenge you on where the money goes. Can you not move the surplus of £3750 into your own bank account, then go through the process of informing her bank and creditors of the death? 

Have you been made of aware of the Tell Us Once service that exists - https://www.gov.uk/after-a-death/organisations-you-need-to-contact-and-tell-us-once - that links all state services from pension to council tax and beyond to make sure that the necessary state agencies are aware from one single contact. 

RAS

AlAlbert said:

MovingForwards said:

With utilities and council tax call and explain your mom has died, but you still live in the property. They will close the accounts and wait for payment, opening new accounts in your name; this buys you time to start receiving money.

Good points, thanks. Call me paranoid but I can see any new utility account in my name needing a deposit, and that's not going to happen at the moment.

The problem here is that there are risks with following the rules that I cannot mitigate with the resources available to me. There are unknowns that can only be established after the fact, when it could be too late to cope. On the one hand I don't want to do things the wrong way but, by the same token, I must sensibly and rationally minimise my risk.

MovingForwards said:

Each bank has a bereavement section and it will also say how much the upper limit is for releasing the funds without probate. If the money in the accounts is more than that, you won't get it until producing probate.

Funeral expenses are priority debts to be paid, all debts need to be repaid before you can start to receive what's left afterwards.

Delaying matters isn't helping your situation.

In fact I discovered this morning that the bank has an online procedure for informing them of a death and they will freeze funds regardless. They list reasons to allow funds to be used before probate is received and they do not include living expenses. Obviously, legal or not, it would be truly idiotic for me to allow my household living funds to be frozen in this way.

An even greater annoyance, that I did not predict, is that they will not talk to me at all unless I can prove my identity to their satisfaction. I have no suitable documents that will prove my identity (which is the same problem I have with UC at the moment).

MovingForwards said:

Contact UC, explain the urgency of the situation and say you need an urgent advance as you're without money and I assume without other family able to assist you on a temporary basis. Unfortunately I'm waiting for the call back from them to confirm my identity. I was unable to do it online as I don't have the right documents to satisfy their processes. There is a number to call if I have a query but I rather suspect that this won't expedite the ID procedure.

MovingForwards said:

I do feel for you, it's a dreadful situation you've found yourself in, but you've got to face it.

Thanks. I think I am facing it. I came here to ask for advice, which is facing it, and I have received much excellent advice.

As a result of the advice received here and the research I did as a result, I have also discovered that precisely following the official procedures will leave me much worse off for benefit at all. That makes doing the 'right' thing both unnecessary difficult and very stupid. I'll say that again in another way: Only a fool would make their life unnecessarily difficult unless they were being forced to do so, and I am not currently being forced.

nanapop1977 said:

AlAlbert - bite the bullet and phone the bank's bereavement team. They will guide you through the process of closing the account and accessing the money. You will probably need to email a copy the death certificate/will and it might take a couple of weeks for the funds to reach your account.

As per my comments above, I've discovered that the bank has a set procedure and will only release funds (except for specific, limited, purposes) when probate is granted. That is not something I can reasonably survive.

nanapop1977 said:

If the cash flow situation does end up being a problem for immediate needs( i.e food/personal hygiene products) ask your GP/CAB for a referral to the local food bank and any other local agencies that might be able to support you until you get back on your feet. Do you have a close friend who might be able to offer any moral support?
Losing a parent is always hard whatever the situation, but take one step at a time and most of all, try to take care of yourself  and it will all come together in the end.

Well, cash flow is a problem right now, if I cannot access my mother's funds. Note that I am not wanting for moral support: I came here for practical advice and have received it.

Thanks to everyone for their help!

Hi

There are essentially two processes. One is the freezing of the accounts as soon as death is notified. The other is the transfer of monies to the administrator or executor.

Very often they are done at the same time; the family member goes in with the death certificate and their own ID and the money is released to them immediately even if probate is needed, to sell a house for example. That money isn't to cover the family expenses; it should be kept separately to cover debts and then be distributed. Your problem seems to be the lack of ID, which won't be helped if things like utility or bank accounts are in the names of deceased family members.

There are multiple cases on MSE however where a family member who is not the administrator or executor has collected in money simply by going to the bank with ID, said there is no will and signed the waiver with the intention of diverting the funds to themselves as they think they  are owed it or the will isn't fair etc. It gets very messy.

If you are the only beneficiary of the estate, there's nothing to stop you (as administrator) make an advanced payment  to you (as beneficiary) for absolute essentials as long as you ensure that there is enough to cover the estate's debts. Those might end up being paid after the house sells.

It would be to your advantage to take meter readings and inform the utility companies that the account holder is deceased and you are taking over the account. They won't then expect to be paid promptly for the bills prior to your mum's death. It gives you some breathing space.

Regarding ID, there are a long list of acceptable documents so it is important that you get advice from someone like CAB or a benefit support organisation who can help you establish your official identity. It's a lot easier if you have a passport or driving licence. There are apparently 2 million Brits who don't have documents probably needed to vote at the next election, so that sort of organisation is well versed in sorting things out.

Meanwhile, my condolences.

MovingForwards

As others have said, yes the banks freeze accounts but that stops money going in and out. Have you been provided with an interim notification of death while awaiting the death certificate? If so, aside from limits there's no reason why you can't legitimately lay your hands on money.

No, banks don't just offer money for your normal living expenses. Yes they do allow 'small' balances to be cashed in by the executor / administrator, which in turn then legitimately gets used by you as beneficiary. Explain you don't have photo ID and ask what you can provide as alternative ID.

This is a list of banks and the amounts they release before probate is required. See if one of them match your mom's and target them to get funds to tide you over pending probate and everything being resolved:
https://www.co-oplegalservices.co.uk/media-centre/articles-may-aug-2018/bank-limits-for-probate/

If you need guidance about getting your benefits sorted out and what ID is acceptable, ask on the benefits board. Plenty of people are in the same situation with no photo ID.

I wasn't credit checked for the gas and electric when I moved into my home, therefore no deposit was paid. Tell us who the utility companies are and we might be able to say if they check, alternatively ask on the energy board. Again, plenty of people have faced the same issue.

What you need to do is methodically target each provider / bank to get what you need, then you can work on the others. Be aware of the limits for benefits too, regardless of them being temporary, as at the moment they are your lifeline.

Not sorting it out is creating a bigger problem.

bouicca21

Getting a lodger is a short term win.  Personally I’d hate to share my space so entirely understand OP’s reluctance - but if it is a large house it should be possible to designate a lodger free area.  The house buying, renting etc board is probably the place to ask for advice on how to set house rules in a lodger contract.  

And I’m pretty sure that on the sums being mentioned that it would be possible to buy somewhere in London.  In my bit, lovely detached houses go for a million plus but there are nice houses for £700k ish, and flats for £400k ish.

[Deleted User]

If you post on the House Buying, Renting and Selling board you'll get advice on that aspect.

You may be pleasantly surprised at the value obtained on sale of the property.

There are micro-climates that affect the value of a property within a neighborhood.  A dilapidated house requiring £100k of work, but close to a park, far from the main road, not next to the school where the traffic snares up, without a bus stop on the street outside, not with a north facing garden, etc, etc, may sell for the same price as an immaculately maintained house on the same street with the same floorspace but with some drawbacks.