You may have heard the word ‘Probate’. But what do you mean by ‘Probate’?
Probate is one of those words that you hear, but you may not have any idea what it is. It is a Grant of Probate, a Supreme Court order that allows for someone to deal with your property when you die.
As soon as you die, all of your assets are frozen and no one is able to access any of your bank accounts, sell any of your property, or transfer your property into their name or someone else’s, that is, unless they own that property jointly with you.
The person/s that you have appointed as your executor in your will have to to apply to the Supreme Court for a Grant of Probate which proves to organisations such as your bank and the NSW Land Registry or share registry, that you have died, that your will is in fact your last will and it’s authentic, and the executor is who they say they are and they are the person that is authorised to deal with your assets.
Once Probate is granted, your assets can be safely transferred to you executor who is then able to pay any outstanding debts you may have, and distribute your estate according to the wishes you have set out in your will.
It should be noted that probate is not always required when someone dies . Where the estate is only small or when all the assets are held in joint names, it may not be necessary for the executor to apply for probate. In circumstances where assets are joint bank accounts and real estate is joint tenancy, the assets will be transferred to the surviving joint tenant by right of survivorship on notification of the death of the deceased.
Disclaimer: The contents of this article do not constitute legal advice and should not be used as such. Formal legal advice should always be sought in these matters. If you would like to discuss this or any other matter please CONTACT US for an appointment.