If a loved one has passed away without leaving a Will, you may be left wondering how their estate will be handled and whether probate is necessary. This article will explore what happens when someone dies intestate (without a Will) and provide guidance on the role of probate in these circumstances.
What Is Probate?
Probate is the legal process that confirms an individual’s Will as valid and grants authority to the executor(s) to manage and distribute the deceased’s estate. However, when there is no Will, the process operates differently, as there is no appointed executor to administer the estate.
What Happens When There Is No Will?
When someone dies without a Will, their estate is distributed according to the UK’s rules of intestacy. These rules determine who can inherit and manage the estate, typically starting with close family members such as a surviving spouse, children or other relatives.
In the absence of a Will, the person responsible for handling the estate is called the “administrator” rather than an executor. The administrator must apply for a document called “letters of administration” to gain legal authority to manage and distribute the estate.
Is Probate (or Letters of Administration) Necessary?
The requirement for probate or letters of administration depends on the size and complexity of the deceased’s estate. Generally, you may need probate (or letters of administration) if:
1 ) The Estate Includes Significant Assets:
If the deceased owned property, such as a house or flat, you will need letters of administration to sell or transfer ownership.
Certain bank accounts with substantial balances may also require probate before funds can be accessed or distributed.
2 ) Financial Institutions Require Legal Authority:
Banks, pension providers, and other financial institutions may insist on seeing probate (or letters of administration) before releasing funds. Each institution has its own threshold for when probate is necessary.
3 ) Jointly Held Assets Are Minimal:
If the deceased’s assets were jointly held with a spouse or partner, such as joint bank accounts or jointly owned property, those assets typically pass automatically to the surviving co-owner and may not require probate.
When Probate May Not Be Required
In some situations, you may not need to apply for probate or letters of administration. These include:
Low-Value Estates:
Estates with minimal assets that fall below certain thresholds may not require probate. The exact threshold varies by financial institution but is generally between £5,000 and £50,000.
Assets Held Jointly:
As mentioned, jointly owned assets often pass directly to the surviving owner without the need for probate.
Seeking Legal Advice
Administering an estate without a Will can be challenging and time-consuming, especially if disputes arise or if the estate is complex. Seeking professional legal advice can help you navigate the process and ensure the estate is administered correctly and in compliance with intestacy rules.
If you have any questions about probate or administering an estate, our experienced team is here to help. Contact us today for tailored advice and assistance.