Low-cost Probate – how we help you to get value for money….
And further down the page, 4 things to ask before appointing a probate professional. So just skip down and check how to keep probate costs down by understanding how many firms bulk up your bills….
Read this before you ask anyone for professional help.
Few people are experienced at dealing with probate: both bureaucracy and traps await the unwary executor! You can be personally liable if things go wrong. The Taxman can charge very substantial penalties if you don’t get the Inheritance Tax right. You will also find that the institutions quite frequently give incorrect information – and if you fail to realise it, you are still responsible.
You could also run into problems if you miss out people who should have inherited (it is quite common if you don’t know the rules – especially if there is no valid Last Will.) Or there could creditors or “dependents” you don’t find out about. Saving the estate some money could be very expensive for you if you end up having to pay compensation from your own pocket. Our help could be invaluable.
But probably the worst part of being executor is that you are piggy in the middle, and in around half of cases, family members (and especially their partners) will think you are being slow, unfair or even cheating them. We hear it all the time. We are experts at defusing these sorts of situation, getting the job done as quickly as possible and keeping the family unit from self-destructing. Disputes after deaths are really common.
We strongly recommend that if there is any possibility of Inheritance Tax being due, you do contact us for professional advice. Bear in mind that any gifts made in the previous 7 (sometimes 14) years need to be considered, as do any trusts. Gifts where the deceased retained a benefit (a typical one is people giving their house to their children to “save” tax but carry on living in it) are also brought into account. Another surprisingly common one is the holiday home “given” to the children – but still used.
If it really is, and you have the time to deal with the bureaucrats (not the few remaining Civil servants in the Probate Registry – the banks, investment houses, councils etc etc) – go for it, you’ll save money which the estate would otherwise have paid. Just double check everything before you send off the forms!
We keep an eye on the probate market so we can refer you to firms who have both the time and the capacity to look after your case properly. And we rely on your feedback when advising future clients which gives them a strong incentive to look after you well.
How can you save on probate fees?
Ask any other probate firm to confirm they don’t use these methods of inflating fees:
* Charging extra for each letter (£50 + is common per letter – typically taking 2 or 3 minutes as they are automated.)
* Charging a “responsibility allowance” – adding a percentage charge (on top of the hourly rate) and this can more than triple the final bill – beware!
* Insisting on doing everything – some firms will fit in with your requirements, not the other way round. But not all will, so it is horses for courses.
Why us? What makes us the firm you should use if you need help? We are on your side, and any firm who wants us to continue to recommend them has to stay on its toes for our clients/
The Probate Department (brokers) Ltd can arrange help on matters in the Probate, Estate Planning and Trust areas. Why not call us on 03 300 102 300 – a chat will cost you nothing and you will find the fees and personal service of our associates are far better than high street solicitors, banks and large institutions. Or email us:
Where matters become unavoidably contentious, we can refer you on to other firms who specialise in contentious probate. We should also mention that a great deal of our associates work is in Estate Planning, trusts, asset protection etc, so we help the living plan effectively, as well as pointing you in the right direction in sorting out the affairs of the deceased.
Free advice and telephone advice: free generic guidance is limited to 5 minutes. Such guidance can only be based on the information given and a full and considered study of the facts with paperwork may not come to the same conclusion, and we always recommend that we pass you on to a specialist firm to get formal advice.
Will or Intestacy Review: who is entitled to what? Very often, the family may be uncertain (or disagree) with what the entitlement of individuals is, and this can lead to massive problems. A quick review can often settle that before it escalates.
Caveat – where there is a dispute: we can introduce you to firms who will ask the Courts to try to force the “other side” to speak to you and try to resolve problems (before they are granted the right to deal with the estate by the Probate Registry) by what is called “entering a caveat.” That may be enough to avoid what is called “contentious probate” – if it is not, we can introduce you to firms who handle such work at relatively modest cost, but it should be avoided if at all possible!
Fixed Fee Probate: provided you give an accurate list of all the assets and liabilities in the estate, we can source a very competitive fixed fee probate service. They will try to stick to it, but if extra work is required because problems arise or clients require additional advice or time, then that may change things.
Hourly Rates: in most cases, an hourly rate is actually the fairest way to deal with things, and is often much cheaper (especially if everyone is patient and just awaits our regular reports!) However, often estate are more complex than they seem, and the fixed fee providers will be looking to add their hourly charge for extra issues. Generally speaking most estates involve about 80% case workers rate (the lowest), 20% supervisors and no barristers rate unless things get complicated. That usually comes in where there are serious tax issues or complex trusts, and you will always be advised before this rate is charged.
Survey of Probate Solicitors fees
This is the most recent survey of solicitors fees we could find; clearly, you are unlikely to be using a “Magic Circle” law firm (unless you are very rich!)
Average Probate Solicitors charge-out rates 2011.
Per hour, plus VAT.
Posh solicitors: £600-£700
Posh firms newly-qualified lawyer: £300
City firm partner (outside the magic circle): £425-£600
City firm with less than 2 years’ post-qualification experience: £215-£300
Major regional and national firm partner: £325-£450
Major regional and national firm with less than 2 years post qualification experience: £175-£240
Source: Jim Diamond’s Hourly Rate Survey 2011
Low cost probate our associates hourly rates: are much less and the extras (“disbursements”) will be a lot lower, as they don’t have any hidden or unclear charges.