Credit Professional 2018 Spring_2018_magazine | Page 8

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Obtain Letters
Testamentary or Letters
of Administration
Before you can reach out to
institutions that a deceased
person was doing business
with, you will have to provide
those companies with proof
that you have a right to
wrap up the deceased's
financial affairs.
The proof you need is
in the form of documents
called: letters testamentary,
or letters of administration.
gives you the authority (via the
letters testamentary) to carry
out the duties required to
settle the estate and act on
behalf of the deceased, in
accordance with the person's
will. (As with death certificates,
be sure to get multiple
certified copies of
letters testamentary).
If no will was left behind,
the court can issue letters of
administration to a surviving
spouse or next of kin after a
death certificate has been
supplied. In this instance, the
person to whom letters of
administration are issued is
deemed the administrator of
the estate.
But that's often a penny wise
and a pound foolish since
advice from a qualified
professional could save an
estate many thousands of
dollars, make the process of
settling an estate much easier
and help family members avoid
potential liabilities.
"Whomever is put in charge
of the estate or trust should
encourage open communication
among the beneficiaries,"
"When you act as executor,
says legacy attorney
there is fiduciary liability and
Andrew Mayoras.
exposure to you personally if
If you retain an attorney (more
you do not follow the terms of
Mayoras and his wife, Danielle, the will exactly," notes estate
info on that below), he or she
are estate planning specialists attorney Rebecca Doane.
can secure these documents
who co-wrote the book
for you and help you navigate
"Trial and Heirs: Famous
probate court, among other
For instance, "executors can
Fortune Fights."
things. For those who decide
be surcharged [fined] if they
to go it alone, here's how you
distribute funds improperly,"
Andrew says that most
get the letters testamentary.
says Doane, who is the founder
estate disputes can almost
of Doane & Doane, an estate
If the person who passed away always be traced to a lack
planning firm based in North
of communication.
had a will and you are the
Palm Beach, Florida. A good
executor of the estate, you can
lawyer will help you sidestep
"Secrecy
creates
doubts,"
he
obtain letters testamentary
this pitfall.
says, "and sometimes that
from the local courthouse or
turns into fights."
city hall in the county where
Aside from wanting to
the deceased was living when
understand possible liability
Consult a Lawyer—Even if issues, some people may simply
he or she died. You must
You Decide Not to Hire One be too emotionally overwhelmed
take the official will to the
court, along with a certified
to do everything alone.
death certificate, and file a
After a loved one dies, many
probate petition.
heirs balk at hiring legal help
"I've had adult children who've
because they worry about
graduated from Ivy League
Once the court opens a probate the cost.
business schools who are so
file and validates the will, it
grief-stricken that they come in
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Spring 2018
7
The Credit Professional