How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Aston Lawyer Your Own Question
Aston Lawyer
Aston Lawyer, Solicitor
Category: Law
Satisfied Customers: 10585
Experience:  Solicitor LLB (Hons) 23 years of experience in Conveyancing and Property Law
16368554
Type Your Law Question Here...
Aston Lawyer is online now

I am drafting a DIY Will c/o W H Smith. My co-habitor wishes

Resolved Question:

I am drafting a DIY Will c/o W H Smith. My co-habitor wishes to leave his property to me and a lump sum to his son. He has no other capital assets and the property has a mortgage on it. In order to carry out his wishes, I would have to pay his son from
my own savings, to avoid having to sell the property in which I live. However, my partner also has credit card debt. Who would be responsible for paying this in the event of his death?
Submitted: 2 years ago.
Category: Law
Expert:  Aston Lawyer replied 2 years ago.
Hi,
Thanks for your enquiry.
Whenever someone dies, their debts need to be paid out first before then distributing the Estate to the named beneficiaries.
On the basis that your co-habitor owns a property, this is classed as an asset and therefore if there any insufficient monies in any Bank account to pay the credit card, the credit card company are still entitled to be paid whatever is owing to them, even if this meant you having to sell the property for example.
SO, in practical terms, you or his son would have to pay off the credit card and you would not be able to turn round and ask them to forfeit the monies owing on the basis that the Estate comprised only of a property.
I hope this assists you and sets out the legal position.
Kind Regards
Al
Customer: replied 2 years ago.
So, if I were the main beneficiary and his son was the residual beneficiary, then would I be the one who would be responsible for paying off all the debts, especially as I will probably be an executor? Also, what IHT is payable and would I as Executor be responsible for collecting and paying this? (His son lives in Israel, so may not be subject to our tax laws....?)
Expert:  Aston Lawyer replied 2 years ago.
Hi,
An Executor is indeed the person responsible for paying off any debts and IHT. Even though his son lives in Israel, this will not make him or the Estate exempt for any IHT which may be payable.IHT would be payable if the Estate is valued at over £325,000.
As regards ***** ***** all the assets are collected in (bank accounts/shares etc), the debts/funeral expenses are then paid out of this amount. Then, any specific legacies are paid and then, whatever is left over is classed as the residuary Estate.
I hope this sets out the steps to follow.
Kind Regards
Al
Aston Lawyer and other Law Specialists are ready to help you
Expert:  Aston Lawyer replied 2 years ago.
Hi,
Can I assist you any further?
If not, I would be grateful if you could rate my answer.
Best Wishes
Al