Probate, POA and Executors

bobster2

Hagarep said:

2) When the executors step in is the original frozen account transfered into a new account and what are the restrictions to this account. ie can outstanding bills be paid and settled or does this have to wait until probate is granted.

If you are acting as executor - once you have obtained probate the bank will transfer the funds to whichever account you nominate - i.e. the account you are using to administer the estate. In addition, many banks will transfer funds up to a limit before probate.

However, as others have said - you may be well-advised to walk away and not administer the estate.

You should definitely not start settling debts unless you are absolutely sure of all assets/debts and are willing to take on the executor role. If you start settling debts then you will be deemed to have "intermeddled" in the estate so will need to complete administration. 

https://www.higgsllp.co.uk/articles/what-is-intermeddling-in-an-estate

https://www.muckle-llp.com/insights/legal-commentary/intermeddling-in-an-estate/

If you intermeddle - you could end up taking on some personal liability for some debts if you don't get things quite right.

tetrarch

Don't become an executor

AAUI

You don't have to be an executor to advise the bank of death and have the account frozen

I don't think that "arranging the funeral" is an executor's duty, getting the Funeral Director paid by the bank should be easy and you can give your MIL a proper send off for as much of that £4,000 as you see fit IMO

I don't think that wake expenses are covered, but you could ask the FD for advice

The ER don't need to know ANYTHING at this point. I wouldn't tell them anything until after the funeral

Regards

Tet

Hagarep

Tet
Thanks for your advice
What/Who does your abbreviation “ER” refer to?
I am currently looking into how my wife and sister in law can remove themselves from being executors to the will as they are both not capable of dealing with it.
My mother in law passed away last Wednesday so we will be registering the death, obtaining death certificates and arranging the funeral within the next week I expect.
My wife has POA over her mother’s affairs and has been dealing with her finances but I understand this ceases on her death. We have not informed the bank yet so we still have online access to use the account. 

Are we able to pay the funeral and death certificate expenses from her account before we inform the bank and they freeze the account or would this cause problems?
Thanks

Flugelhorn

Hagarep said:

Tet
Thanks for your advice
What/Who does your abbreviation “ER” refer to?
I am currently looking into how my wife and sister in law can remove themselves from being executors to the will as they are both not capable of dealing with it.
My mother in law passed away last Wednesday so we will be registering the death, obtaining death certificates and arranging the funeral within the next week I expect.
My wife has POA over her mother’s affairs and has been dealing with her finances but I understand this ceases on her death. We have not informed the bank yet so we still have online access to use the account. 

Are we able to pay the funeral and death certificate expenses from her account before we inform the bank and they freeze the account or would this cause problems?
Thanks

ER = equity release company

you must inform the bank and you can't use the account (it could cause
more problems if you start paying bills from an insolvent etstate) - the funeral director can send the invoice to the bank and they will pay it - they are used to doing this.

Linton

Hagarep said:

Tet
Thanks for your advice
What/Who does your abbreviation “ER” refer to?
I am currently looking into how my wife and sister in law can remove themselves from being executors to the will as they are both not capable of dealing with it.
My mother in law passed away last Wednesday so we will be registering the death, obtaining death certificates and arranging the funeral within the next week I expect.
My wife has POA over her mother’s affairs and has been dealing with her finances but I understand this ceases on her death. We have not informed the bank yet so we still have online access to use the account. 

Are we able to pay the funeral and death certificate expenses from her account before we inform the bank and they freeze the account or would this cause problems?
Thanks

You should inform the bank of the death. You can ask the FD to claim the funeral costs directly from the bank.

Using money in the account for other purposes could cause problems if there are unpayable debts.

bobster2

Hagarep said:

My wife has POA over her mother’s affairs and has been dealing with her finances but I understand this ceases on her death. We have not informed the bank yet so we still have online access to use the account. 

Are we able to pay the funeral and death certificate expenses from her account before we inform the bank and they freeze the account or would this cause problems?
Thanks

Absolutely do not use this online access to pay anything.

You need to inform the bank immediately.

They will pay funeral costs directly to funeral service provider if you request this.

tetrarch

Hagarep said:

My mother in law passed away last Wednesday so we will be registering the death, obtaining death certificates and arranging the funeral within the next week I expect.

Don't tell the Equity Release company anything yet

Hagarep said:

I am currently looking into how my wife and sister in law can remove themselves from being executors to the will as they are both not capable of dealing with it.

That is the PA15 form I mentioned above

https://www.gov.uk/government/publications/form-pa15-give-up-probate-executor-rights

Hagarep said:

My wife has POA over her mother’s affairs and has been dealing with her finances but I understand this ceases on her death. We have not informed the bank yet so we still have online access to use the account. 

Are we able to pay the funeral and death certificate expenses from her account before we inform the bank and they freeze the account or would this cause problems?

As others have said, you should/must stop using this access. I would print off a statement to show the Funeral Director. Informing the bank right away will stop any utilities/council tax etc

Best wishes

Tet