What is Probate?

Probate is the legal process of dealing with someone’s estate after they have passed away. It involves ensuring the correct people are given responsibility for the estate so they can collect in any assets, pay off any debts and then distribute the estate in line with the deceased’s wishes.

Probate can be broken down into two sections the first is obtaining the grant and the second is administering the estate.

Obtaining the grant

Before assets, such as a house, can be sold you will need to obtain the grant of probate. This is the legal document issued by the court that confirms who is responsible for the estate and the value of the estate. Only an executor named in a will, or if someone died without a will then those entitled under the intestacy laws can apply for the grant.

In order to get the grant you will need to complete the relevant HMRC and probate forms which will ask you to provide details about the deceased and their estate.

You will need to know bank statement amounts and have an estimated value for any property, websites such as Rightmove and Zoopla can be really helpful in assisting you to get these estimated figures. You will also need to understand if there are any outstanding debts, such as credit cards and loans and the value of these.

Once you have collected this information and completed the necessary forms these then need to be sent off the Probate registry with the original will, if the deceased left one.

Once the estate has been reviewed and HMRC confirm they are happy with the tax position the probate registry will issue you with the grant and you can start to administer the estate.

Estate administration

This is the second step in the probate process and involves collecting in all the assets of the deceased and paying any outstanding liabilities until you are left with the net estate to distribute.

This will involve presenting the grant of probate to banks and other financial institutions such as insurance companies so they will release any funds to you. If there is a property to sell the conveyancer helping with the sale will want to see the grant before the sale can be completed. You will need to make sure that any outstanding debt is paid in full, and you have confirmation from the credit company confirming this.

In case the deceased had any unknown liabilities which you haven’t been able to identify It is also recommended that you place a statutory notice in the London gazette. This gives formal notice that you intend to distribute the estate and if there are any creditors who believe they are owed money then it gives them the opportunity to step forward.

Here is a link to the London Gazette Website; https://www.thegazette.co.uk

Once you are happy that all the assets have been collected and any outstanding debts have been paid you can begin to distribute the estate to the beneficiaries. The beneficiaries and the amount they are due to receive will be detailed in the deceased’s will or if they didn’t leave a will this is decided by the intestacy laws.

You should complete a set of estate accounts to give to the beneficiaries, which details all the assets and liabilities of the estate and how the estate has been distributed. It is also recommended that you collect a receipt from the beneficiaries confirming they have received their gift.

Once all the beneficiaries have received the amount due to them, then the probate process is complete, and you just need to make sure you keep any records in a safe place.

Who can help with Probate?

You do not need to use a professional to help with probate but often the process can be stressful and complicated, so you need to be comfortable with the work you are taking on. If you do decide to use a professional both solicitors and probate accredited accountants will be able to help you.