What is Probate?

Upon your death, before title to your assets can pass to your heirs, all potential claimants to those assets must be eliminated. The process of eliminating all potential claimants is called probate, a process that can be costly, time-consuming and agonizing. The purpose of probate is to establish clear title to, or new ownership of, an asset.

In the United States today, Going through the process of probate is one of the most agonizing and expensive experiences in which an individual can participate. Many people believe that having a Will stops their estate from going through probate. Unfortunately this is a belief that reflects one very common misconception. The words probate and Will are synonymous, and if you have a Will, your estate does not go directly to your heirs but instead must pass through probate. Once begun, Probate cannot be stopped and takes 9 months to two years to complete; and sometimes lasting as long as three or four years.

Probate is a family affair, because not only will the members of your family suffer the agony and time of probate but also the heirs will lose a substantial share of their inheritance – your hard earned money – to the Will and Probate attorneys. The only way to stop probate is through a Living Trust.

What are the advantages of Probate?

• Provides a forum for resolving disputes (Will contests).
• Supervises the appointment and work of the Executor of the Estate.
• Inventories and appraises all assets and debts of the decedent.
• Provides for the payment of creditors of the Estate.
• Changes title on assets and distributes them to beneficiaries named in the Will.

What are the disadvantages of Probate?

• Excessive fees: Attorneys’ fees, Executors’ fees, Appraisal fees, Court filing fees, and Bond Premiums are in some circumstances, astronomical.
• Excessive delays: Succession averages between six months and three years to complete, depending on the complexity of the Estate. It has been reported that the national average is almost a two-year delay.
• Estate taxes due: Within nine months of the death of a property owner.
• Public records: Every detail of your family’s financial life is available for public scrutiny at the Parish Courthouse. This includes name, address, phone number, and how much will be received.
• Psychological impact: Inflexible court proceedings are constant reminders of the death of a family member. More often than not, the surviving spouse and heirs feel trapped, helpless, controlled and frustrated by Court actions.
• Out-of-state property: A Will requires succession, with its accompanying additional legal and accounting fees, in every state where real estate is located.