Legal Question in Wills and Trusts in Alabama

letter of testanentary

Hi, :) My Dad died on Nov.17th 06. He had a checking account, and had taken out a large loan. He wan't prepared to die! My Mom went to his bank to find out what to do. They told her that they needed a death certificate, and a letter of testanentary before they could give her access to his account. The attorney that she talked to, advised her it would cost $160.00 per hour, and it would take up to 6 or 8 hours. Both my Mom and I are disabled. She has a blockage in her only remaining leg due to PVD and, will probably have surgery soon, and I have multiple sclerosis. We are hurting bad for money, and trying hard just to get a stone on his grave. The payment on the loan is $150.00 monthly, with only $10.00 going toward the actual payment itself. We are confused, and don't know what to do. Is there anyway around this? Can we do the paperwork, and have an attorney go over it and sign? Are we responsible for my Dad's loan? We own a little over 20 acres of land, and we are scared the bank may try and take it away from us. Please help! Thank you for your time and attention :)

Kindest regards,

251-751-4295 cell

251-610-4302 my Mom's cell

gloria


Asked on 2/13/07, 2:38 pm

2 Answers from Attorneys
William Nolan Nolan Elder Law LLC

Re: letter of testanentary

First off, yes, if your mom was not on the checking account, you will have to have her or you or someone else named as his executor in order to access the account. Lawyer fees vary but in my estimation, probate matters always consume more time than they should. I don't think $160/hr is bad at all and I would think that 6-8 hrs is a conservative estimate. The estate not the survivors would end up paying this though. As for the bank loan, why are you paying it? Unless your mother was on the note, you probably don't have any responsibility on the loan. Let them collect if from the estate if they can.

Please don't be penny wise and pound foolish. Contact an attorney who understands probate to help you out. You won't be sorry. And, you will probably save money in the long run.

William G. Nolan

www.NolanElderLaw.com

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Answered on 2/13/07, 6:29 pm
Norma Chaviers Norma M. Chaviers, LLC

Re: letter of testanentary

Even though a lawyer sounds expensive to you, getting one will most likely save you money in the long run. The estimate you were given by the lawyer you contacted sounds reasonable, especially if he/she has to file for insolvent estate status.

If the debt was solely in your dad's name and was unsecured, to get paid, the bank would have to make a claim against your dad's estate, assuming you or somebody opens one. THEN there would have to be enough money in the estate to pay the claim, after the expenses of his death and final illness have been paid (meaning his estate could buy his tombstone before paying the bank).

If you choose not to open an estate for your dad, the bank, as a creditor of the estate, can open one to try to collect the debt. I would recommend that, if possible, you open the estate yourself.

What is this debt for? Is it secured by a car or a piece of property? If the debt is secured, the bank may be willing to take back the collateral for the debt in full, or at least partial, satisfaction of the debt. Also, be aware that the bank can seize the funds in your dad's checking account to apply toward the debt.

Sorry to be so lengthy, but the best advice I can give you is to hire an attorney experenced in probate matters to help you. It could save you money in the long run. Good luck!

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Answered on 2/16/07, 7:45 am


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