Finance - The 4 Must-Have Documents:
According to financial expert Suze Orman, there are 4 Must-Have Documents that everyone should have.
These four documents are:
A Real-Life Case Study on Why All 4 Documents in the Protection Portfolio are Must-Haves happened to us just recently.
My husband's mother passed away this summer. While she did have POA's for Financial and & Advanced Healthcare Directive, these died with her.
She did not have a Will, and therefore did not have a named Executor. She did have a Revocable Trust, but it was never 'funded'.
In December, her daughter received a premium refund check in her mother's name, but was unable to cash it due to all accounts having been closed.
This daughter was also her care-giver as well as POA before the death of her mother.
She had also been named Trustee of the Revocable Trust. But as the Trust was never funded, all regular accounts were closed at the time of death.
Here is a letter excerpt with some things we were able to find out which may help others in a similar situation:
Since the Revocable Trust was never revoked that you may still be able to cash or deposit the check.
However, I know that even though you were named Trustee on the Trust, since it was never 'funded' it might not be helpful to use the Rev. Trust document.
It might be worth talking to your bank and/or the bank where you had done banking for Mom before, though.
Also, as you said too, the POA's cease upon death. However, the answer below does mention a couple of ways that the check could still be cashed/deposited.
One was to talk with the company who issued the check to explain the situation and perhaps have it re-issued.
The other was to use probate court (explained below).
Another possibility is to go to your bank and explain the circumstances and get their advice (it would probably help to show the documents, just to demonstrate your prior involvement).
Caring.com has a lot of information, which is where the article below is from.
One piece of advice mentioned there was to, "Add your name to all accounts. POA ends at death but if your name is on the accounts you also own it."
I remember you said the accounts had been closed, though. Other information on the sited said that:
"Some banks will allow access (to accounts) if you are able to present a notarized Affidavit of Assumption of Duties, which is a simple statement giving date of death, accompanied by a death certificate."
Something like this might also work for being able to cash a check even though the account has been closed, especially if they are already familiar with you and with your situation.
Maybe they would let you reactivate her account? (Not sure.)
UPDATE: The bank did allow the former POA to deposit the check as both she and her deceased mother had previously held accounts at the bank in question.
I am really starting to see why Suze Orman calls the documents in her kit the '4 Must-Have Documents'.
Here's a link to her site where she also has answers to financial questions: http://suzeorman.com/resource-center/
How can I get a check cashed that was written to my deceased mother's estate?
http://www.caring.com/questions/cash-check-written-to-deceased-person
Q: My mother died without a will. Her car was automatically paid off at the time of her death and a check was issued to my mother’s estate. How can I get the check cashed when no one was given the power of attorney?
A: You are learning the hard way why so many people advocate how wise it is to put your affairs in order during your life to avoid such profound hassles. If the car payment is the only thing that is left unsettled, you may consider contacting the company that issued the check to explain your predicament. There is a chance it will have a form and format for you to follow.
But you will probably be in for a bit of legwork and paperwork, which may be worthwhile if the check is for a large amount.
Unfortunately, the only person that can legally cash that check would be the personal administrator for your mother's estate. Since she did not name one in a will, you or some other person would have to go to the local probate court and ask it to issue you the authority in what is called "letters testamentary."
To get this permission, you would need to present a copy of your mother's death certificate, complete some paperwork, and pay a court filing fee. You will likely need this authority to negotiate other transactions after your mother's death -- for example, changing title to stocks and bonds she may have owned.
Hope this helps! : )
According to financial expert Suze Orman, there are 4 Must-Have Documents that everyone should have.
These four documents are:
- Will
- Revocable Trust
- Advanced Directive / Durable Power of Attorney for Health Care
- Financial Power of Attorney
A Real-Life Case Study on Why All 4 Documents in the Protection Portfolio are Must-Haves happened to us just recently.
My husband's mother passed away this summer. While she did have POA's for Financial and & Advanced Healthcare Directive, these died with her.
She did not have a Will, and therefore did not have a named Executor. She did have a Revocable Trust, but it was never 'funded'.
In December, her daughter received a premium refund check in her mother's name, but was unable to cash it due to all accounts having been closed.
This daughter was also her care-giver as well as POA before the death of her mother.
She had also been named Trustee of the Revocable Trust. But as the Trust was never funded, all regular accounts were closed at the time of death.
Here is a letter excerpt with some things we were able to find out which may help others in a similar situation:
Since the Revocable Trust was never revoked that you may still be able to cash or deposit the check.
However, I know that even though you were named Trustee on the Trust, since it was never 'funded' it might not be helpful to use the Rev. Trust document.
It might be worth talking to your bank and/or the bank where you had done banking for Mom before, though.
Also, as you said too, the POA's cease upon death. However, the answer below does mention a couple of ways that the check could still be cashed/deposited.
One was to talk with the company who issued the check to explain the situation and perhaps have it re-issued.
The other was to use probate court (explained below).
Another possibility is to go to your bank and explain the circumstances and get their advice (it would probably help to show the documents, just to demonstrate your prior involvement).
Caring.com has a lot of information, which is where the article below is from.
One piece of advice mentioned there was to, "Add your name to all accounts. POA ends at death but if your name is on the accounts you also own it."
I remember you said the accounts had been closed, though. Other information on the sited said that:
"Some banks will allow access (to accounts) if you are able to present a notarized Affidavit of Assumption of Duties, which is a simple statement giving date of death, accompanied by a death certificate."
Something like this might also work for being able to cash a check even though the account has been closed, especially if they are already familiar with you and with your situation.
Maybe they would let you reactivate her account? (Not sure.)
UPDATE: The bank did allow the former POA to deposit the check as both she and her deceased mother had previously held accounts at the bank in question.
I am really starting to see why Suze Orman calls the documents in her kit the '4 Must-Have Documents'.
Here's a link to her site where she also has answers to financial questions: http://suzeorman.com/resource-center/
How can I get a check cashed that was written to my deceased mother's estate?
http://www.caring.com/questions/cash-check-written-to-deceased-person
Q: My mother died without a will. Her car was automatically paid off at the time of her death and a check was issued to my mother’s estate. How can I get the check cashed when no one was given the power of attorney?
A: You are learning the hard way why so many people advocate how wise it is to put your affairs in order during your life to avoid such profound hassles. If the car payment is the only thing that is left unsettled, you may consider contacting the company that issued the check to explain your predicament. There is a chance it will have a form and format for you to follow.
But you will probably be in for a bit of legwork and paperwork, which may be worthwhile if the check is for a large amount.
Unfortunately, the only person that can legally cash that check would be the personal administrator for your mother's estate. Since she did not name one in a will, you or some other person would have to go to the local probate court and ask it to issue you the authority in what is called "letters testamentary."
To get this permission, you would need to present a copy of your mother's death certificate, complete some paperwork, and pay a court filing fee. You will likely need this authority to negotiate other transactions after your mother's death -- for example, changing title to stocks and bonds she may have owned.
Hope this helps! : )
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