Avoiding Probate Court

What is probate? Probate is defined as the legal process in which the estate of a deceased person is administered by the resolution of all claims against the estate and distributing the deceased person’s property as instructed by the person’s death will. The probate process can last for a period of several months, sometimes for more than one year, and can incur massive probate court and attorney costs. Probate can drag out before all of the probate property has been divided and distributed. One of the best ways to avoid probate is to create a living trust.

A living trust is created to transfer ownership of property from an individual to a trust, which is controlled by the creator of the trust and can be edited by the creator, and names beneficiaries. Upon the death of the creator of the trust, the beneficiaries become the owners of the property in the trust. A living trust helps people avoid the estate tax and probate because probate is a public matter while a living trust is a private matter.

Ways to Avoid Probate

There are various ways to avoid the process of probate these days. The list of ways to avoid probate includes the following:

• Revocable Living Trust: This allows property to avoid probate and other taxes, except for federal estate taxes, and the property is given to the specified person upon the death of the creator of the revocable living trust.
• Pay-on-Death Accounts: All bank accounts can be deemed pay-on-death accounts by simply filling out a form for each bank account. On the form, the bank account holder lists a beneficiary of the account. Upon the death of the account holder, the money in the account will go directly to the beneficiary without going through probate. Some states allow vehicle registrations to be handed down the same way along with security registrations.
• Joint Ownership of Property: There are three forms of joint tenancy probate that help people avoid the process of probate and they include joint tenants with right of survivorship, tenancy by the entirety, and community property with right of survivorship.
• Gifts: Another way to give away property is to give your property to friends and relatives as gifts throughout your lifetime. If you do not own the property when you die then it does not have to go through probate. You could also get a unified credit.
• Simple Procedures for Small Estates: Almost every state offers exceptions or alternate procedures for small estates to avoid probate.

Legal Help for Probate

If you or a loved one is trying to avoid probate, contact a wills and inheritance attorney immediately for expert legal counsel regarding your situation. An attorney will be able to answer all of your probate questions, help you setup trusts to avoid probate, and provide other tips to avoid the process.