Will we need probate or not?

karma_police

Hi all, ok so my brother died recently.  He was single all his life with no dependants, there was no property, nothing overseas, no joint account holders or jointly owned assets of any kind. he had no business interests. 

He had various bank accounts, all in credit, various credit cards, mostly with very little on them, one or two owing, but not huge amounts, and well covered in due course by the other finances,  and he had a pension pot and shares/ISA all with the same company. 

I have already been in touch with the pension company and they have stated that the pension pot falls outside of the remit of the estate, and should be easy to transfer to the beneficiaries. The remaining shares/ISA and all other bank accounts fall below the relevant institutions probate thresholds. 

I'm the sole executor of his will which is very simple. A large proportion of his assets come to me, another chunk to my sister, and smaller chunks to be put in trust to my two children. There are also two small pecuniary legacies to charities. 

So, the big question is do we need probate? On the face of it it would seem not, as all the various assets are held in various institutions whose probate thresholds have not been crossed. However is there any cumulative situation here to be aware of? All the info I can find online suggests that in total we are well over the small figures suggested for cases where probate is not required. 

I think that probably covers the basics, obviously happy to provide more information if required. Thanks in advance for any help or advice
offered. 

Marcon

There's a good questionnaire here: https://www.co-oplegalservices.co.uk/probate-solicitors/how-do-i-know-if-probate-is-required/?utm_source=google&utm_medium=cpc&utm_term=&utm_campaign=probateppc&utm_content=sl2&infinity=ict2~net~gaw~ar~547925669001~kw~~mt~~cmp~NB+-+[PRO]+-+Hagakure+-+Questions~ag~(CAT:NB)(SUB:PRO)(TERM:Do+I+Need)(DSA)&gclsrc=aw.ds&gclid=EAIaIQobChMI7baJjNrk9QIVAbbtCh0g8Q7OEAAYASABEgK6-vD_BwE

(sorry about the hideously long link!)

If you work through that, it will highlight whether or not probate is needed.

karma_police

Marcon said:

There's a good questionnaire here: https://www.co-oplegalservices.co.uk/probate-solicitors/how-do-i-know-if-probate-is-required/?utm_source=google&utm_medium=cpc&utm_term=&utm_campaign=probateppc&utm_content=sl2&infinity=ict2~net~gaw~ar~547925669001~kw~~mt~~cmp~NB+-+[PRO]+-+Hagakure+-+Questions~ag~(CAT:NB)(SUB:PRO)(TERM:Do+I+Need)(DSA)&gclsrc=aw.ds&gclid=EAIaIQobChMI7baJjNrk9QIVAbbtCh0g8Q7OEAAYASABEgK6-vD_BwE

(sorry about the hideously long link!)

If you work through that, it will highlight whether or not probate is needed.

Hi Marcon, thanks for that, but I'd already been there and done that. All the information I can find online seems to contradict itself a bit. Just about everyone says that if an estate is worth more than £5k you'll probably need probate, but then just about everyone says that if each asset falls below the institutions threshold (sometimes up to £50K) then you won't. 

Keep_pedalling

karma_police said:

Marcon said:

There's a good questionnaire here: https://www.co-oplegalservices.co.uk/probate-solicitors/how-do-i-know-if-probate-is-required/?utm_source=google&utm_medium=cpc&utm_term=&utm_campaign=probateppc&utm_content=sl2&infinity=ict2~net~gaw~ar~547925669001~kw~~mt~~cmp~NB+-+[PRO]+-+Hagakure+-+Questions~ag~(CAT:NB)(SUB:PRO)(TERM:Do+I+Need)(DSA)&gclsrc=aw.ds&gclid=EAIaIQobChMI7baJjNrk9QIVAbbtCh0g8Q7OEAAYASABEgK6-vD_BwE

(sorry about the hideously long link!)

If you work through that, it will highlight whether or not probate is needed.

Hi Marcon, thanks for that, but I'd already been there and done that. All the information I can find online seems to contradict itself a bit. Just about everyone says that if an estate is worth more than £5k you'll probably need probate, but then just about everyone says that if each asset falls below the institutions threshold (sometimes up to £50K) then you won't. 

Rather than a set sum, the simple rule to apply is that is all assets can be released without probate, and is is exempt from IHT you don’t need to apply for it. 

karma_police

Keep_pedalling said:

karma_police said:

Marcon said:

There's a good questionnaire here: https://www.co-oplegalservices.co.uk/probate-solicitors/how-do-i-know-if-probate-is-required/?utm_source=google&utm_medium=cpc&utm_term=&utm_campaign=probateppc&utm_content=sl2&infinity=ict2~net~gaw~ar~547925669001~kw~~mt~~cmp~NB+-+[PRO]+-+Hagakure+-+Questions~ag~(CAT:NB)(SUB:PRO)(TERM:Do+I+Need)(DSA)&gclsrc=aw.ds&gclid=EAIaIQobChMI7baJjNrk9QIVAbbtCh0g8Q7OEAAYASABEgK6-vD_BwE

(sorry about the hideously long link!)

If you work through that, it will highlight whether or not probate is needed.

Hi Marcon, thanks for that, but I'd already been there and done that. All the information I can find online seems to contradict itself a bit. Just about everyone says that if an estate is worth more than £5k you'll probably need probate, but then just about everyone says that if each asset falls below the institutions threshold (sometimes up to £50K) then you won't. 

Rather than a set sum, the simple rule to apply is that is all assets can be released without probate, and is is exempt from IHT you don’t need to apply for it. 

Thank you, that's how it appears to me, but struggling to find confirmation of that. 

Keep_pedalling

karma_police said:

Keep_pedalling said:

karma_police said:

Marcon said:

There's a good questionnaire here: https://www.co-oplegalservices.co.uk/probate-solicitors/how-do-i-know-if-probate-is-required/?utm_source=google&utm_medium=cpc&utm_term=&utm_campaign=probateppc&utm_content=sl2&infinity=ict2~net~gaw~ar~547925669001~kw~~mt~~cmp~NB+-+[PRO]+-+Hagakure+-+Questions~ag~(CAT:NB)(SUB:PRO)(TERM:Do+I+Need)(DSA)&gclsrc=aw.ds&gclid=EAIaIQobChMI7baJjNrk9QIVAbbtCh0g8Q7OEAAYASABEgK6-vD_BwE

(sorry about the hideously long link!)

If you work through that, it will highlight whether or not probate is needed.

Hi Marcon, thanks for that, but I'd already been there and done that. All the information I can find online seems to contradict itself a bit. Just about everyone says that if an estate is worth more than £5k you'll probably need probate, but then just about everyone says that if each asset falls below the institutions threshold (sometimes up to £50K) then you won't. 

Rather than a set sum, the simple rule to apply is that is all assets can be released without probate, and is is exempt from IHT you don’t need to apply for it. 

Thank you, that's how it appears to me, but struggling to find confirmation of that. 

I think the rules are deliberately vague as it makes it more flexible. In some situations it is advisable to apply for probate when it is not strictly needed, fire instance on an estate that IHT is not due because of spousal exemption, where probate records will be very useful for the executors of the surviving spouse. In reality no probate has been obtained on the first death.

There are no penalties for executors who wind up an estate without applying for probate, only penalties for failing to declare or pay the correct amount of IHT.

getmore4less

I use the simple rule.

keep going till someone asks for a grant and you can't get them to drop the requirement.

The work is very similar anyway doing te enquiry's creating the inventory and account, closing accounts, dealing with debts, collecting assets and distributing as required by the will(or intestate).

Can always do the probate form and relevant IHT forms just in case and they are handy docs to put in the file even when a grant is not required as reminders should anything crop up later..