Share this Article:. Share on facebook. Share on twitter. Share on linkedin. Share on email. Share on print. Related Articles. July 15, Jeffrey Marshall. July 24, Jeffrey Marshall. Aretha Franklin the Legend…. Read More Articles. Contact us for an Initial Consultation. Call or. Schedule an Initial Consultation. Williamsport, PA. By default, a power of attorney grants the agent broad power to take almost any action that the principal can take.
The agent essentially steps into the principal's shoes and makes important decisions. For example, the agent can open and close and make deposits and withdrawals from a bank account in the principal's name. The principal can narrow the powers of the agent by drafting a more limited power of attorney.
The type of actions an agent can take may be limited, or the agent's powers might be limited to a single event or time period.
For example, a power of attorney can grant an agent the power to sign real estate closing documents on behalf of a principal but terminate immediately after the transaction. A principal can draft a power of attorney to terminate upon the incapacity of the principal or to continue in effect after the principal's incapacity. Those that continue after the principal's incapacity are called durable powers of attorney. As long as the principal has capacity, they can revoke their power of attorney at any time.
All powers of attorney terminate when the principal dies. When a person dies with a will, someone must carry out the directions in the will after their death. For example, if a will leaves a certain amount of money to a survivor, someone needs to transfer the funds from the deceased's account to the survivor's account.
That person is called the executor of the will. An executor may have to apply for a special legal authority before they can deal with the estate. This is called probate. An administrator is someone who is responsible for dealing with an estate under certain circumstances, for example, if there is no will or the named executors aren't willing to act.
An administrator has to apply for letters of administration before they can deal with an estate. Although there are some exceptions , it is usually against the law for you to start sharing out the estate or to get money from the estate, until you have probate or letters of administration.
The executor or administrator also called the personal representative takes responsibility for dealing with all of the estate. This involves:. Ask them for confirmation of the value of the money held at the date of death and the amount of income received during the last tax year up to the date of death. Also ask them to freeze the bank accounts so no one can take money out without the correct legal authority. If it appears that there are not enough assets in the estate to cover outstanding tax, expenses, bills and other liabilities, you should seek the advice of a solicitor.
Administering an insolvent estate can be complicated. When someone dies, it's important to sort out their benefits, tax and National Insurance as soon as possible. There may be tax to pay, or their estate might be owed some tax back. You need to tell the tax office, and each government office that was paying benefits to the person who has died, about their death.
You need to do this as soon as possible after the death. Depending where the person who has died was living, you may be able to tell several government services about the death in one contact by using the Tell Us Once Service. For more information about this service, see What to do after a death. They can deal with all the DWP benefits that were being paid to the person who died. They can also check whether the next of kin is entitled to any benefits. You can find information about what to do about tax and benefits on the HMRC website at: www.
UK website at www. The person who has died may have left debts, for example, an overdraft on their account or a credit agreement that has not been paid off. When someone dies you should try to contact all their creditors. You should place a notice in The Gazette on their website, the official public record of legal notices in the UK.
This will tell creditors they can make a claim against the estate to pay off the debt. If you don't place a notice and creditors come forward after you've paid out the estate, you might have to pay off the rest of the debt with your own money.
In general, if there is not enough money in the estate of the person who has died to pay their debts their creditors cannot recover the amount still owed from anyone else, including that person's surviving relatives. You should check whether that person had any kind of insurance policy that would pay off any of their debts on their death, for example, a payment protection insurance policy taken out at the same time as a loan. In some cases the debt may have been a joint one, for example, an overdraft on a joint account or an amount owed on a credit agreement taken out in joint names.
If this is the case, the debt can still be recovered from the surviving person. In addition, if you lived with someone who has died you may still be liable for debts that relate to the property, such as council tax or water bills. If you are named in someone's will as an executor, you may have to apply for probate.
This is a legal document which gives you the authority to share out the estate of the person who has died according to the instructions in the will. You do not always need probate to be able to deal with the estate. If you have been named in a will as an executor, you don't have to act if you don't want to. In some circumstances, someone who wants to deal with the estate of someone who has died will have to apply for letters of administration, rather than probate.
This person is called an administrator. You have to apply for letters of administration if:. There are strict rules about who can be an administrator. If there is a valid will, you can apply for letters of administration if:. If there is no valid will, and you are the next-of-kin, you can apply to be an administrator in the following order of priority:.
An unmarried partner, or same-sex partner who has not registered a civil partnership and who has not been named in a will as an executor will not usually be able to act as an administrator. You do not always need letters of administration to be able to deal with the estate of someone who has died.
You usually need probate or letters of administration to deal with an estate if it includes property such as a flat or a house. Otherwise, you may not need probate or letters of administration if:. Couples may jointly own their home. There are two different ways of jointly owning a home. These are beneficial joint tenancies and tenancies in common. If the partners were beneficial joint tenants at the time of the death, the surviving partner will automatically inherit the other partner's share of the property.
There is no need for probate or letters of administration unless there are other assets that are not jointly owned. The property might have a mortgage. However, if the partners are tenants in common, the surviving partner does not automatically inherit the other person's share. Probate or letters of administration will be needed so the personal representative can pass it whoever will inherit the share of the property, according to the will or the rules of intestacy.
0コメント