Tweet
You can do it yourself too, just a little time and patience I think, here's how.
Where there's a will there's a way
What exactly does an executor of the will have to do? Alan Wilson explains the vocabulary of sorting out estates and how you should go about it
You have suffered a bereavement and the last thing you can contemplate is winding up the estate. But do not rush to hand the job to professionals; they can be very expensive and it is perfectly possible though time-consuming to sort it out yourself.
Someone who winds up an estate is called a "personal representative". As a personal representative, you carry out instructions in the will or if there is no will you follow the rules of intestacy.
You will pay taxes due or apply for tax refunds, clear bills and debts, claim on life insurance policies, list the assets and transfer them to the heirs and beneficiaries.
You need a grant of representation from the probate registry to become a personal representative, which will give you legal authority to take control of the assets.
There are two situations in which you can apply to be a personal representative. The first is if you are named as "executor" in a will and in this case the grant is also known as "probate".
In the second case, you can apply if the named executors cannot or will not do the job or if there is no valid will. In this case, you are called the "administrator" and the grant is called "letters of administration".
The person who inherits the whole or the residue of an estate has priority over others who apply to be administrator.
Small estates
Of course, you may not need a grant if the estate is small. Banks and building societies may release small amounts to next of kin without a grant if total savings and investments are below £5,000.
You may not need a grant if everything is held in joint names; it automatically goes to the surviving joint owners. But you will need one to sell or transfer a property held solely in the name of the person who died.
Naming executors
Solicitors, accountants and banks are often named in wills as executors. They can charge 2% to 3% or more of the value of the estate - and sometimes a much larger percentage of small estates.
Heirs and beneficiaries face an uphill battle in challenging hefty fees or getting rid of inefficient professional executors appointed in a will. It is better to name your spouse or other family member or friends when you write a will, though ask them first.
Most wills name more than one executor, but you could decide that just one of you acts as personal representative while the others either reserve or renounce their rights. Alternatively you can have up to four people acting as representatives.
In practice, non-professional personal representatives can do the form-filling themselves. Only pay for professional help for advice on things you are unsure about and for help with complications, such as a disputed will or setting up a trust for a beneficiary.
As far as possible, agree the costs in advance; retaining ultimate control can help speed things up and keep costs down.
How to execute a will
First get details of what is in the estate from bank statements, deposit account books, share certificates, insurance policies, property deeds. Value possessions at what you can sell them for, not the higher insurance/replacement value.
Next, apply for the grant. There will be forms to fill in.
You will need to supply the death certificate and the original of the will (if there is a will) and pay certain fees: £130 for estates over £5,000 (nothing for estates below this) plus £1 for each sealed copy of the grant: you need one copy for every organisation that holds assets.
You will have to attend an interview and swear an oath at the probate registry.
Finally, once you have the grant, send a sealed copy to each institution holding money or any other asset and ask for it to be released.
Once you have control of all the assets, you can sell anything that needs to be sold (such as a property), pay bills and debts and distribute what is left to beneficiaries.
You can take any expenses you incur as personal representative but you cannot charge for your time, though some people make provision in the will to pay an executor. A good idea is to open a separate executor's bank account to pay money in and out.
Do be aware that getting the grant can take around six weeks from when you apply, longer if there are complications.
Overall, winding up an estate may take quite a few months, but it is an achievable task - even if you approach it only one day at a time.
Useful links
For addresses and forms, go to the forms and guidance section at courtservice.gov.uk. The probate registry can advise you through the process.
You may have to pay part of any inheritance tax due before the grant is given: see inlandrevenue.gov.uk/cto.
Different procedures and legal language apply in Scotland. For information, go to the publications and leaflets section at scotcourts.gov.uk.
Where there's a will there's a way
What exactly does an executor of the will have to do? Alan Wilson explains the vocabulary of sorting out estates and how you should go about it
- Alan Wilson
- guardian.co.uk, Thursday 13 November 2003 10.59 GMT
- Article history
You have suffered a bereavement and the last thing you can contemplate is winding up the estate. But do not rush to hand the job to professionals; they can be very expensive and it is perfectly possible though time-consuming to sort it out yourself.
Someone who winds up an estate is called a "personal representative". As a personal representative, you carry out instructions in the will or if there is no will you follow the rules of intestacy.
You will pay taxes due or apply for tax refunds, clear bills and debts, claim on life insurance policies, list the assets and transfer them to the heirs and beneficiaries.
You need a grant of representation from the probate registry to become a personal representative, which will give you legal authority to take control of the assets.
There are two situations in which you can apply to be a personal representative. The first is if you are named as "executor" in a will and in this case the grant is also known as "probate".
In the second case, you can apply if the named executors cannot or will not do the job or if there is no valid will. In this case, you are called the "administrator" and the grant is called "letters of administration".
The person who inherits the whole or the residue of an estate has priority over others who apply to be administrator.
Small estates
Of course, you may not need a grant if the estate is small. Banks and building societies may release small amounts to next of kin without a grant if total savings and investments are below £5,000.
You may not need a grant if everything is held in joint names; it automatically goes to the surviving joint owners. But you will need one to sell or transfer a property held solely in the name of the person who died.
Naming executors
Solicitors, accountants and banks are often named in wills as executors. They can charge 2% to 3% or more of the value of the estate - and sometimes a much larger percentage of small estates.
Heirs and beneficiaries face an uphill battle in challenging hefty fees or getting rid of inefficient professional executors appointed in a will. It is better to name your spouse or other family member or friends when you write a will, though ask them first.
Most wills name more than one executor, but you could decide that just one of you acts as personal representative while the others either reserve or renounce their rights. Alternatively you can have up to four people acting as representatives.
In practice, non-professional personal representatives can do the form-filling themselves. Only pay for professional help for advice on things you are unsure about and for help with complications, such as a disputed will or setting up a trust for a beneficiary.
As far as possible, agree the costs in advance; retaining ultimate control can help speed things up and keep costs down.
How to execute a will
First get details of what is in the estate from bank statements, deposit account books, share certificates, insurance policies, property deeds. Value possessions at what you can sell them for, not the higher insurance/replacement value.
Next, apply for the grant. There will be forms to fill in.
You will need to supply the death certificate and the original of the will (if there is a will) and pay certain fees: £130 for estates over £5,000 (nothing for estates below this) plus £1 for each sealed copy of the grant: you need one copy for every organisation that holds assets.
You will have to attend an interview and swear an oath at the probate registry.
Finally, once you have the grant, send a sealed copy to each institution holding money or any other asset and ask for it to be released.
Once you have control of all the assets, you can sell anything that needs to be sold (such as a property), pay bills and debts and distribute what is left to beneficiaries.
You can take any expenses you incur as personal representative but you cannot charge for your time, though some people make provision in the will to pay an executor. A good idea is to open a separate executor's bank account to pay money in and out.
Do be aware that getting the grant can take around six weeks from when you apply, longer if there are complications.
Overall, winding up an estate may take quite a few months, but it is an achievable task - even if you approach it only one day at a time.
Useful links
For addresses and forms, go to the forms and guidance section at courtservice.gov.uk. The probate registry can advise you through the process.
You may have to pay part of any inheritance tax due before the grant is given: see inlandrevenue.gov.uk/cto.
Different procedures and legal language apply in Scotland. For information, go to the publications and leaflets section at scotcourts.gov.uk.
Comment