You have probably heard that the probate process is one that should be avoided at all costs. While this may carry some measure of truth, it is often regarded as a necessary step after death. Creating a will is something that every person should do when they either own property or have children. A will is a blueprint for how you want your affairs handled after death. However, there is a process that has to occur in court to ensure that things go smoothly. Understanding probate may help guide you through the best ways to tackle your estate planning.
Probate Opens
Probate begins when a will is filed with the court. This is done by the estate planning lawyer who has the original will, or the administrator may do it. This is the person named in the will to take all necessary action on behalf of the deceased. The court publishes a notice that probate is open. This gives debtors and anyone who believes they have a claim against the estate time to submit paperwork.
The Administrator Gives an Accounting
After probate opens, the administrator is responsible for gathering an accurate accounting of all assets and debts. All accounts must be tallied up and the information provided to the court. Once this is done, the court will order all creditors to be notified and given statutory timeframes to respond.
The Administrator Pays Debts
Once the timeline expires, the administrator must pay all outstanding debts or return items held by collateral to the creditor. For example, vehicles may be repossessed by the lender. The administrator may have to sell assets, such as stocks, to pay for any debt shortfall. The heirs named in the will are notified.
Heirs Get Their Inheritance
The administrator pays the heirs per the will after all claims against the estate have been paid. In some cases, there is not enough money left to pay the heirs everything they are to get.
Probate Closes
After the administrator drains the estate and there is no more money or property left to dispose of, they file a letter with the court informing them of this. The court will then review the information and order probate closed.
This is a simplified explanation, and every jurisdiction has different rules for probate. Speaking with an estate planning lawyer, like an estate planning lawyer in Arlington, TX, can help you with any questions or procedures regarding probate. These professionals may also be called upon to represent you should you not want to deal with it yourself.
Thanks to Brandy Austin Law Firm, PLLC for their insight into some of the basics of probate.