No will, no home, little money in bank - massive family. Is Probate needed?

HeWhoDares

My Mum sadly passed last week.  
She didn't leave a will.  She didn't own her home.
She has less than £5k in savings (with another £3-4k in a Life Insurance Policy due).
She had 6 kids - who have produced many grand and great-grand children.

She has made it clear (though no will) that all the great/grand kids get some cash - which will leave very little for her children (which is fine, we're all grown up!).

Does this need to go through Probate?  

Ideally, I would like to take the responsibilty of being the executor (I've done something very similar for an Aunt (I was POA), so know what I need to do) and simpy divide the money appropriately - but not sure on the exact process.

My question is - is it possible to skip the probate process and somehow get executor powers myself?  
Note: I don't foresee any challenges from any other member of the family.

shiraz99

First and foremost, very sorry for your loss.

As there's no will you wouldn't apply for probate anyway, you would apply for what is known as Letters of Administration giving you legal authority to administer the estate. Having said that it's unlikely that's anything in the estate that needs this. The amounts in your Mum's banks are low enough not to require this but you'd need to check with Life Insurance company to see what they require.

Also, before doing anything, and I'm sure you have many more important things to deal with, you need to speak to all family members to get an agreement on how to go forward with her estate.

Another thing you'd need to do is check to see what, if any, debts your mum had as these may need to be settled out of her estate before you can distribute the remainder.

shiraz99

I forgot to ask, was your Mum married?

HeWhoDares

Thanks Shiraz99 

So my Mum was widowed 30+ years ago and there's no partner.  
The family are aware there's not much to share and are OK with the principle that it goes to the grandkids. 
She has no debts, but there are a couple of accounts (e.g. Phone, Audible) which need to be cancelled. 
It should all be relatively straight forward.

"Letters of Administration giving you legal authority to administer the estate. Having said that it's unlikely that's anything in the estate that needs this. The amounts in your Mum's banks are low enough not to require this but you'd need to check with Life Insurance company to see what they require."

What do I need to check with the Life insruance company?  
Surely there's something I would need to effectively take over her bank account??  What is the minimum (least line of resistance) and how do I go about starting the process?

shiraz99

HeWhoDares said:

Thanks Shiraz99 

So my Mum was widowed 30+ years ago and there's no partner.  
The family are aware there's not much to share and are OK with the principle that it goes to the grandkids. 
She has no debts, but there are a couple of accounts (e.g. Phone, Audible) which need to be cancelled. 
It should all be relatively straight forward.

"Letters of Administration giving you legal authority to administer the estate. Having said that it's unlikely that's anything in the estate that needs this. The amounts in your Mum's banks are low enough not to require this but you'd need to check with Life Insurance company to see what they require."

What do I need to check with the Life insruance company?  
Surely there's something I would need to effectively take over her bank account??  What is the minimum (least line of resistance) and how do I go about starting the process?

You need to contact the Life Insurance company's bereavement service to see how to proceed. As far as the banks are concerned you need to inform them and get the accounts closed. I'd then create a separate account and get the funds released to that. Most banks now have minimum limits required for the need for probate etc, usually around the £15,000 mark, so in your case they'll likely only require the death certificate to proceed.

As I say, nearly all institutions have dedicated bereavement departments who are well versed in helping you along the way during this difficult time.

Keep_pedalling

It is highly unlikely you will need probate, the bank will pay out without it and the insurance policies probably fall outside her estate anyway.

shiraz99

One thing I'd add is how is the funeral going to paid for? If previous arrangements haven't been made then I imagine a very sizeable chunk of your Mother's estate will be taken up by funeral costs so there's unlikely to be a huge amount to distribute afterwards.

HeWhoDares

Thanks again.
Re Funeral Costs - they will be coming out of the overall pot. So you're correct that nost of the estate will be taken with that.  I just need to get the control to make sure it goes smoothly and without unnecessary complications.  
It sounds like I need to contact the Life Insurance company to see what can be done.  And then the banks.  I don't think anything can actually start until we have the death certificate.  
I'll follow your advice and see where I get to.  

lincroft1710

If the Rules of Intestacy are followed then the estate should be shared between the 6 children. The funeral costs could easily swallow the life insurance policy payout and any outstanding utility bills and other debts need to be paid out of the estate. So the net remaining may be around £4000. 


You don't say exactly how many grand and great-grand children there are but if we said 20, that means each would only get £200 and nothing for the children.

macman

The grandchildren and great grandchildren inherit nothing. Under the intestacy rules the 6 children get an equal share, and if you are made Administrator, that's how you must distribute any assets remaining after the debts are paid.
It's then up to your siblings to pass the inheritances on to their offspring if they wish, but it's not your task to perform.

TBagpuss

Macman is corect. If ALL the chidren want eveyhting to go to the grandchildren then they are free t agree that but it would be sensible to get it in writing ffrom eveyone or as above, just split the estate after funeral costs and debts are paid in 6, and each child can then chose to gift their share to their childnre or grandchildren