All That You Must Know About Probate

All That You Must Know About Probate

If someone close to you dies in Australia, there are many things that you must do so that the last wishes of the person is fulfilled properly particularly regarding his or her finances.

Here in this article, we will discuss what probate really means in Australia, when his services will be necessary, and who is going to act in his role, and also how to become one across various states in Australia.

What is probate?

This is a kind of legal process that is often needed for authenticating the will of any deceased person in order, so that an executor specified in the will may carry out according to the wishes of the deceased person. The executor is in charge of administering the estate of a deceased person, ensuring that debts are paid and leftover assets are dispersed.

When probate will be necessary?

If any person leaves behind certain assets like money in his or her bank account where the person was the only account holder. In such a case,  the bank will ask for permission before releasing the money to the named Executor after probate authorises it.

This authorization will be needed if the value happens to be above a certain specified amount. Every bank institution will most likely have policies about deceased estates and how they are handled, so it is essential to ask about your specific situation.

A few other scenarios when such a need will arise are as follows:

  • If the person who has died has many shares in the company, then such authorization may be needed.
  • If the deceased person was the only owner of real estate, then such permission might be necessary for transferring the ownership. In case there are 2 owners, then the ownership will be transferred to the next owner.
  • It is worth noting that in every state different policies are applied, so it will always be best to check from the local Supreme court.

Whether probate is needed for making a life insurance claim?

A grant may not be necessary as part of the typical claim process of life insurance for most carriers, but it depends on the specific circumstances.

Since a life insurance policy is not usually included in an estate of a deceased person. Instead, in the event of any successful claim, the policy normally includes detailed instructions about who will get the benefit.

A grant will be required in case of a more complicated type of life insurance claim or higher-value policies to clarify how the policy benefit will be allocated.

Even with less complicated claims, the insurer may ask the claimant to furnish documentation. A birth certificate, death certificate, medicare documents, and medical records received from the doctors of the policyholder are all examples.

Who applies for probate?

Only the executor or executors, in case more than one is designated in the will may apply for probate in most situations. To apply in all Australian states, the applicant must be at least 18 years old.