Probate: What does it mean and how long does it take?

Ashlie Harwood, Associate in our Private Client team, gives the lowdown on what Probate actually is - and the facts about why you need it.

What is Probate?

Probate is a court document proving who is entitled to administer a deceased’s estate either by proving the last known Will – known as a Grant of Probate, or proving that a deceased passed away 'intestate' (which means without a Will) – known as Letters of Administration.

Why do you need it?

• Each organisation has its own requirements.
• Probate often will be needed when dealing with shares/investments and property/land owned by the deceased.
• Banks/financial institutions have different thresholds that if the balance held exceeds, they will not release monies without proof of Probate.

How long does it take?

Once all of the assets and liabilities of a deceased person have been established.

If inheritance tax paperwork is required, this will be submitted to HMRC and a minimum period of 20 working days must pass before a postal Probate application can be submitted and if the application can be completed online, then HMRC will produce a code for this to be prepared and submitted.

If the estate falls under the ‘excepted estate’ category then no inheritance tax paperwork is required and the Probate application can be instantly submitted upon establishing the estate.

Once the Probate application is sent to the court, depending on if it is an online or postal application and if it is an excepted estate or not, it can take anywhere between 4-20 weeks for Probate to be granted.

Can you access a loved one's bank account before Probate?

Upon notification of death, bank accounts are generally frozen. As mentioned, depending on the threshold of the bank, some simply require a valid death certificate to release monies, however if the balance exceeds their set threshold then Probate is required to release monies.

There are a few payments that a bank will authorise to be released whilst Probate is awaited which includes funeral payments and payment of inheritance tax.

Any probate myths we can debunk?

‘Probate is always needed’. No, Probate is not always required for every deceased person. For example, if a person dies, only owning assets held jointly with someone else then these assets will pass by survivorship, so no Probate is required.

‘There is no inheritance tax to pay so we do not need Probate’. No, Probate and inheritance tax are separate matters, and both should be considered on every estate.

‘There is a Will so we do not need Probate’. No, having a Will does not avoid needing Probate but it does make the estate administration process much easier.

For more information or advice on Probate issues, please contact Ashlie Harwood by emailing anharwood@cozens-hardy.com or contacting the team on 01603 625231.