Hot answers tagged

123

It looks to me like this is a 'call an attorney' situation, which is always a good idea in situations like this (family legal disputes). But, some information. First off, if your family is going to take the car, you certainly won't need to make payments on it any more at that point, in my opinion. If the will goes through probate (which is the only way ...


82

You do need a trust - but the fee is for professional trustees. If your mother appoints some people she trusts as unpaid trustees, then it's free. You are the obvious choice, but she will need some more trustees in case you die or lose competence before your brother dies. The trust should be written that the capital is held in trust for the ...


27

If you've been paying on the car for three years, it's possible that your credit is in a place where you don't need a co-signer any more. See if your bank will re-fi with you as the sole debtor. If they won't do it, find another institution who will. The re-fi will take your grandpa off the loan, and whichever institution that does the re-fi will still ...


13

You're driving a car worth about $6000 which has a $12,000 loan against it. You're driving around in a nett debt of $6000. The best thing your grandfather could do for you, if possible, is to take your name off both the title and the loan, refinancing the car in his name only. If possible while still letting you drive the car. When he dies, you will be out ...


9

If no will was written, the Gesetzliche Erbfolge is followed. It has different orders of heirs. descendants parents and their descendants grandparents and their descendants … and so on The first order with living members is used, here the second order (§1925 BGB). That means his parents are each assigned half of his estate. Since they no longer live this ...


8

This is not intended as legal advice, and only covers general knowledge I have on the subject of wills as a result of handling my own finances. Each state of the USA has its own laws on wills and trusts. You can find these online. For example, in Kentucky I found state laws here: http://www.lrc.ky.gov/krs/titles.htm and Title XXXIV is about wills and ...


8

Your wish is to leave money to your brother to help him take care of your parents until they die with the condition that any balance of the money to be transferred to your wife or, if she is deceased, to your children. The fulfillment of this wish will depend on your brother honoring your request should you predecease your parents and then your parents ...


7

The first step is to talk to your heirs and fund out if they even want the large asset. If they don't want the asset, then it would be far better to leave instructions in your will for the asset to be sold and then the proceeds distributed. If only one heir wants the asset, then adjust their inheritance to offset leaving them the entire property. If ...


7

Your cousin should be able to obtain a loan on favorable terms. The actual legal document that will be signed by your cousin's sibling is a quit claim deed. This is basically a form assigning sole ownership to your cousin. On that form they can usually list a dollar amount exchanged for quitting claim. But yes, this is essentially a case of two owners having ...


7

The house becomes an asset belonging to the estate of Alice. The debt also goes with the estate. The executor of the will should arrange for the debt to be paid off as part of sorting out the estate - they can't just hand out all the assets and leave nothing to pay off the debts. This could be done by selling the house. But in practice, the executor and ...


7

I can answer this question for my jurisdiction (Florida, USA), because I lived through it. My Dad ("Alice") passed away in 2008, just as the housing crisis was starting to heat up. What happened to the Mortgage? My Dad had a will in place. It was an old will (from the 1980's), but never-the-less, a will. We had to provide paperwork to the court that my ...


7

When you say 'wayward' I assume he might have a drinking/gambling/addiction/loose women problem, and that any sum of money on his hands won't last long. One further possibility you might want to consider is to make him life tenant of a property (see Wikipedia for an intro). That would grant him the right to live at a certain apartment, but not be able to ...


6

In most countries this should't be an issue you can make such or similar provision. Its best to talk to a lawyer to get the wording right.


6

The short version is that the state government claims the estate when no relatives can be found and no will/estate plan exists. How the government uses that varies by state. From Legal Zoom: Should an individual die intestate, or without leaving a will, and without having any heirs, the government in the decedent's state of residence will generally ...


6

It looks like the United Kingdom has annuities. It might be possible to set up an escalating annuity with a provision that on the death of the beneficiary the principal would go to his heirs (presumably his children). Another possibility might be a lifetime annuity combined with life insurance. Or a lifetime annuity with some of the money and some of ...


6

The answer is a trust, but the kind you want is quite specific. You want to ask a solicitor to set up for you, what is called a protective trust. In the UK, that's a name given to a trust whose specific intention is to prevent the beneficiary from wasting the trust money that's intended to support them, and to "insulate" the money from any claims, if they ...


5

The reason a bank wants you to have 'equity' in your house (meaning, value that you hold free and clear, without anyone else being owed money for it) is that it makes it harder for you to ignore your obligations and run away. ie: if you own a house worth $200k, and owe the bank $150k, you wouldn't stop paying your mortgage and move to Venezuela, because you ...


5

If you add a co-owner - you'll be subject to gift tax which is exactly the same as the estate tax. There's one benefit however: gift tax has a $14K exemption a year. So you might save a bit of a tax by giving the gift now instead of having it inherited later, but on the other hand - it will be you paying the tax now instead of the heir later. Of course, all ...


5

My grandmother passed away earlier this year. When I got my car 3 years ago, I did not have good enough credit to do it on my own or have her as a co-signer. We had arranged so that my grandmother was buying the car and I was co-signing. A similar situation was happening and I went to my bank and took out a re-finance loan prior to her passing. I explained ...


5

Everything depends on your local law. In general, joint assets are not a problem whereas sole ownership assets are. Depending on location, the size of the estate may determine the need for probate. Probate fees are usually larger than trust settlement fees. In my US state, the last time I settled a family member's estate, the maximum charge for probate ...


4

I think Joe is right, it seems that you will get the car once grandpa passes. It clearly states that on the DMV page. I would work like crazy to get this car paid off ASAP. Work extra and see if you can get it paid off in less than a year. Once paid off, have grandpa sign it over to you. This is a really toxic situation that you can reduce somewhat by ...


4

You might want to head on over to https://law.stackexchange.com/ and ask the same question. However from a personal finance perspective this kind of drama is somewhat common when someone is deceased and financial expectations are not met by the heirs. It sounds like the daughter was expecting a lot more in inheritance than was actually received. There ...


4

Can we name both children as co-executors? Yes, you can name both children as co-executors. Can they be the witnesses? Maybe, in most states Witnesses must be not be beneficiaries of your estate (In my view it's a good idea to have disinterested witnesses even if the state doesn't require it). It is also helpful if they are people likely to be ...


4

There are two different possible taxes based on various scenarios proposed by the OP or the lawyer who drew up the OP's father's will or the OP's mother. First, there is the estate tax which is paid by the estate of the deceased, and the heirs get what is left. Most estates in the US pay no estate tax whatsoever because most estates are smaller than $5.4M ...


4

The way it has been explained to me by estate planning attorneys is that wills in general don't keep anything from going through probate. Your will gives instructions to the probate court for how you want your assets directed. To avoid probate requires things such as a trust, passing property by contract, or where possible, naming beneficiaries on accounts ( ...


4

A trust is what you need. However a trust which costs £50k/pa to manage is either ripping you off or for management of +£5 million in assets. I would suggest you start with an Accountant (not a lawyer) to investigate setting one up. Note: any decent accountant will give you a free 15-30min initial consult You are going to need an accountant to prepare ...


3

Can we name both children as co-executors? Yes but that means that they both have to act together to make any decisions, which may sound good but there's often a lot of small decisions that have to be made. They both have to sign any paperwork, sign checks, may need to appear in court, etc. What if they end up living in different parts of the country? It'...


3

She is very wrong. If the IRA is a traditional, i.e. A pretax IRA (not a Roth), all withdrawals are subject to tax at one's marginal rate. Read that to mean that a large sum can easily push her into higher brackets than normal. If it stayed with her, she'd take smaller withdrawals and be able to throttle her tax impact. Once she takes it all out, and ...


3

My family members, particularly my aunt (his daughter), are telling me that when my grandpa dies they are taking my car. Bring this up with Grandpa. If this is what he wants to have happen, then help him make it happen before you finish paying $12,000 on a car worth only $6,000. Let the Aunt and other relatives deal with the remaining $12,000. If that ...


3

Ignoring the obvious issues regarding gift tax and probate, you open another can of worms regarding ownership. Lets say you decide to sell the car before you die. Now you have to get your new co-owner to sign the paperwork. If they were only in the will this could be handled without their cooperation. If you get angry with them next year, they have to sign ...


Only top voted, non community-wiki answers of a minimum length are eligible