What more can I do to prepare for uncles passing

[Lionessadmirer]

Our lovely uncle will die soon.

he has a house, savings and lots of shares. I don’t really understand the types of shares.

he is owed money, about £200k. That’s about 10% of the estate.

he has a current account.

his last list of assets is good but about 6 months old.

he has a will.

Does he have a partner? (Just because that will change things like bills).

Spiritual side of things...is he Catholic? Would he like the last rites or last confession?

Or does he subscribe to any religion?

Thanks for replies!

no partner.
no religion.

I’ve sorted the window cleaner, who insists on £9 cash, by giving the next few months’ payments to the neighbour…..

Is he ok with giving you all his passwords/ computer log ins etc and are you comfortable asking.
My Dad was a bit of a sketchy Dad lots of ways but I was so grateful to him that he left all his account and password details for me. He carefully wrote everything out. Having his email password was especially useful.

I was pleasantly suprised at how compassionate and helpful all the banks and the companies he had accounts with were. The banks sold his shares. I can’t quite remember the exact procedure but it was very straightforward.

Yes he has told us where to find that information - but I think the accounts will be frozen?

Organisations have processes and often dedication teams to deal with someone dying.

You just need to contact them when the time comes and work through what's required.

They may want proof of death (so get a couple of copies of the death certificate) and that you're an executor (copy of the will) but they will talk you through everything.

It will be fine.

Is the person that owes him money one of the people who will be a beneficiary of the will. That would make things easier.
The estate is going to have to pay a lot of inheritance tax.

For some people, if they know they are dying and are in their last hours, telling them not to worry, that you can handle everything helps.

Is the money that he is owed properly documented?

thank you for these answers.
yes to inheritance tax but that's a privilege isn't it?
Sadly no, the debtors are not beneficiaries.

I was Executor for my Dad and Father in Law, both had estates under the IHT threshold, so doing Probate and the related paperwork was ok, but I did look at the forms you have to submit for Probate where there is IHT and I wouldn’t have been able to do those. Whatever you can do now, sell shares and try and get the money owed to him paid it will be less work for a Solicitor should you appoint one, but will also be in a better position to start the ball rolling to get the money owed back. Yes, banks will freeze bank accounts once informed until Probate is granted, but they can settle funeral bill.

Has he spoken at all (or is it in the will) about how and where he wishes to be buried or cremated?

As mentioned by a pp, is the debt documented (eg is there something, anything, in writing or was it just done on a handshake)?

"...he is owed money, about £200k. That’s about 10% of the estate."

If £200k is 10% then that suggests the total estate is around £2 million.

If an estate goes above £2 million then there are extra calculations to do. They're not difficult though and if you're capable of doing the probation yourself then you will be able to do a couple of extra calculations.

A pp said to "sell shares". That would be a mistake as that would crystallize any capital gains and so CGT would have to be paid and then it would still be subject to IHT on your uncle's death. Do not sell any assets that have increased in value before your uncle dies unless it is absolutely necessary.
.

"but I think the accounts will be frozen?"

The accounts are frozen so that no more money can come out of them. If there are any ongoing payments that need to be maintained (eg gas/electricity for the house etc) then you will need to contact companies to explain the situation.

What happens then depends how much is in the account and which bank it is. For example, I bank with Barclays and they say that if all the sole accounts with them come to no more than £50k then you do not need to wait for probate.

In that situation you need an original death certificate or certified copy and proof of your ID (eg passport, driving licence etc)

Thank you everyone, especially Another2Cats

Seems like we won’t have to pay capital gains on the shares’ increase in value prior to death.

my uncle has been meticulous in his planning. My brothers and I have much to be grateful for.

Who is the executor?

Are you the executor? All you mention is the responsibility of the executor.

When you contact banks or other financial institutions be sure to ask to speak to the Bereavement Team - they will have the correct knowledge to help you whereas those at call centre may not.

Yes executor.
ooh yes thanks re bereavement team tip!

Just to say that accounts etc are not automatically frozen until you inform them of the death of the owner of the accounts, so that's something that needs doing ASAP after death.

is it improper to spend any money after death? Even if on the instructions of the deceased?

You can ask the bank to pay certain bills on production of an invoice e.g. funeral costs.

Things to think about:

• ask about what funeral does your uncle want. I have always found it makes the service more personal if the person had an input to the service.
• Find a list of contacts I.e. friends and family who need to be informed and invited to the funeral.
• Make a list of service providers e.g. gas, electric etc.
• Make a list of all financial institutions.
• Make sure you know if his home is registered, if not where the deeds are.

I am sorry you are going through this but being prepared will help.

He might be able to prepay for his funeral with the local funeral director. Would be one less thing to think about.

Thanks! I feel there ought to be some facility to pay the household bills, etc. otherwise how do heirs with no money pay the council tax, electricity, etc?!?

Utility providers and the council are used to this happening. You need to notify them of the death.

If there are any ongoing payments or other outstanding debts then they can be rolled up until probate is acquired if there are insufficient funds in any bank account (eg if it's the case that you'll have to sell the house to pay off the debts).

If the bank will release funds before probate (eg for Barclays, the amount is anything less than £50k) before probate then you can open an "executors account" to pay the funds into. You can then arrange to pay any ongoing utility charges, council tax etc from this account.

Thank you again Another2cats.

I will look at the guidance from his bank