The Benefits And Drawbacks Of Probate

After you pass away, all of the property you own, including your home, personal possessions, and other assets will have to go through the probate process. Many people draft legal documents such as revocable trusts to help their loved ones avoid probate. This is due to the fact that probate has gotten a reputation for being detrimental, but this is not always the case. Like anything else in life, there are advantages and disadvantages to the probate process. It is important to know what these are before you begin planning for your estate.

What are the Benefits of Probate? 

Contrary to what many people think, the probate process does have some benefits for those going through it. These include:

• Eliminating debt: One part of the probate process is resolving debts owed by the decedent to creditors. First, creditors are notified and they then have 90 days from the date of notice to make a claim against the estate. Although there are exceptions, if creditors do not file a claim within this time, they are typically barred from collecting the debt from the estate.
• Skeptical creditor claims: There are times when creditors may make a claim against an estate when they do not have right to the property within it. Your personal representative has a fiduciary duty to defend against any claims made in bad faith. The probate process can provide the protection of a court-supervised process of resolving these disputes.
• Family disputes: It is unfortunate but there are times when family members and close friends may disagree about how estates are handled or distributed. Probate provides an opportunity to resolve disputes between prospective and named heirs. During the process a judge will make impartial decisions, which is often a more attractive option than allowing these individuals to settle disputes on their own.

What are the Drawbacks of Probate? 

The benefits of probate often only apply to small and simple estates. For other estates, probate can have potential drawbacks, including:

• Delay of inheritances: The probate process can take anywhere between 6 – 12 months to complete, or even longer. Your beneficiaries cannot inherit the property you leave for them until probate is closed and so, if you want the assets transferred right away, it is best to avoid probate.
• Expensive: As with other legal matters, there is a cost to probate and it is usually between three and five percent of the estate’s overall value. These costs will come from your estate, which could reduce the overall assets your beneficiaries receive.
• Lack of privacy: What happens in probate court becomes public record, including the contents of your will. If you have sensitive matters you would like to keep private, you may want to use alternatives that can help your loved ones avoid probate.

Our Probate Lawyer in Daytona Beach Can Devise a Strategy Right for Your Family 

At Bundza & Rodriguez, our Daytona Beach probate lawyer can review the facts of your case and help you determine if the process is right for you and your family. We can also devise other strategies, such as establishing trusts and beneficiary designations that may be right for your case. Call us now at 386-252-5170 or contact us online to schedule an appointment with our attorney and to get more information.

Source:

leg.state.fl.us/statutes/index.cfm?App_mode=Display_Statute&URL=0700-0799/0733/0733ContentsIndex.html