Probate - estate includes loan to 'friend'

vouch0r

Hi there,
An estate that is being settled has shown large payments totalling over 40k plus since 2017 to a manipulative person in this persons life. 

The bank statements show several payments with reference as 'loan'  associated to these payments.

Is there any recourse for the estate to chase these loans without any loan agreement or other evidence? 

Savvy_Sue

Is the person in question a beneficiary?

Marcon

vouch0r said:

Hi there,
An estate that is being settled has shown large payments totalling over 40k plus since 2017 to a manipulative person in this persons life. 

The bank statements show several payments with reference as 'loan'  associated to these payments.

Is there any recourse for the estate to chase these loans without any loan agreement or other evidence? 

If the bank statement says 'loan', try using that for leverage. Not the most compelling, but worth a go, surely, in the absence of anything stronger?

Savvy_Sue said:

Is the person in question a beneficiary?

If you're thinking OP could net this off against any bequest, unhappily that won't work - it's a sure fire way to get a complaint (unless the 'person' agrees that yes, it was a loan...).

Alderbank

In the absence of any loan agreement or other evidence the only thing you can do is ask the other person presumably?

If they refuse to discuss it or if they say those sums were loan repayments which they had lent to the deceased in the past then I don't see that you could go any further.

However if they say that the original loan is not yet fully paid and there is still money outstanding, then of course you as administrator should not pay more without compelling proof.

Hoenir

What documentary evidence have you found?