Time Limits for Unknown Creditors

HappyScotsman

I'm a little confused by creditor time limits as I've read different things. 

If I post to the London Gazette, the unknown creditor(s?) have two months and one day to make themselves known. Anyone after that is too late and write off their debt. However, I'm sure I read somewhere else that creditors have six months from the date of death to present their case. After that, they've lost their chance.

FYI, I'm currently approaching the end of month three since death.

Hopefully someone here can tell me what the correct approach is. 

Keep_pedalling

The purpose of advertising in the gazette, Is to free the executor of the liability of a creditor coming out of the woodwork after you have distributed the estate. It does not stop the cent or pursuing the beneficiaries for any debt. So as I said before if the executor is the sole residual beneficiary if the estate they can still be pursued for the debt as long as it is not time barred. The advertisement is a waste of money if the executors are also the main beneficiaries.

Debts only become time barred after 6 years.

https://www.stepchange.org/debt-info/can-i-write-off-debt/statute-barred-debt.aspx

HappyScotsman

Thanks. We're still a long way from distribution and closing the estate so plenty of time to track down what I now think could be two creditors. The executors are the beneficiaries of the residual estate so now I understand an ad in the Gazette would be pointless in these circumstances.

Keep_pedalling

Correction, as we are talking Scotland the period is 5 not 6. 20 for some types of debt.

https://businessdebtline.org/fact-sheet-library/statute-barred-debts-s/?gclid=EAIaIQobChMIkvC9zuTr8AIV0-FRCh3OsQQ5EAAYASAAEgKxHPD_BwE

MovingForwards

It's 6 months after which it is then safe to distribute the assets:
https://www.citizensadvice.org.uk/scotland/family/death-and-wills/after-death-dealing-with-an-estate/#h-after-confirmation

HappyScotsman

Thanks. For clarity, my mother lived in England which is where her last will was written. She inherited my late father's estate when she lived in Scotland. 

getmore4less

Executors are expected to be diligent and make enquiries where there is potential for a debt(or credit) to exist.

Some are obvious like  tax, utilities, rent, council tax, benefits, pensions, some may be less obvious but a diligent executor would uncover, eg invoice in the paperwork with no record of being paid  or payments from an account that are unknown.

MovingForwards

HappyScotsman said:

Thanks. For clarity, my mother lived in England which is where her last will was written. She inherited my late father's estate when she lived in Scotland. 

It's the same in England, I just can't find a link for you at the moment.
Placing the advert is a bottom covering exercise as it announces the death and allows creditors to step forward. Companies do actually cross reference names against their records. Therefore if no one steps forward, you've covered yourself if it arises at a later date.