Having to sort out someone’s affairs when they die can be time-consuming and emotionally challenging. Added on top of this is a whole load of legal language that you have to learn as forms start appearing and lawyers start discussing ‘probate’, ‘intestacy’ and more. To help make the process less intimidating, here are seven key terms broken down.
Probate
Probate is the legal process of following the instructions left in a will. The deceased person’s estate is valued, assets are collected, any debts are paid and the remaining estate is then distributed depending on the deceased person’s wishes. This process typically takes 6 to 12 months, but can take longer in the case of complex estates or disagreements.
Beneficiaries
Beneficiaries are individuals named in a will. They can be left cash, property or other physical possessions. Beneficiaries typically include relatives, but can also include friends or charities or organisations.
Intestacy
Intestacy is when someone dies without a will. In this case, the beneficiaries are selected according to the rules of intestacy – typically starting with any spouses, then children and then more distant relatives. This often leads to outcomes people don’t want to expect (for example, unmarried partners and stepchildren often get nothing). If someone has no close relatives, heir hunters may have to be hired to track down the next of kin.
Executor
The executor is the person named in the will to carry out the deceased’s wishes. This could be one person or a group of people. Their job includes collecting information about the estate’s assets and debts, applying for probate, paying bills and funeral costs, and distributing the estate to beneficiaries. It’s a role of trust and responsibility, so make sure to choose someone organised and reliable, and ask them in advance.
Codicil
A codicil is a change made to an existing will. It has to be signed and witnessed properly while the deceased person is alive to be valid. You can amend a will at any time so long as you are still of sound mind. If you need to make big changes, it may be easier to write out a whole new will instead.
Caveat
A caveat is a formal notice used to contest a will, which can delay probate for six months while investigations take place. Such a notice could be worth filing if you believe a will is not valid or was written under undue influence. Just be wary that contesting a will can be expensive and is often not easy.
Estate planning
Estate planning is the legal process of determining what will happen to your estate when you die – including writing a will, setting up life insurance or leaving behind clear instructions for loved ones. It’s never too early to start estate planning as you can always make changes later on. The benefit of estate planning is that you can rest assured knowing that your assets will go to the right people, plus it can make the probate process easier for your loved ones.
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