I was referred to a widow, aged 63 today. She has recently lost two loved ones her only Son and her beloved Husband.
If that wasn't bad enough her Husband hadn't updated his will since 1980 and the appointed executor's are no longer in business they are married in C.O.P (Community of Property).
She is the sole beneficiary of husband's estate that consists of the flat, in Gordon's Bay and an annuity that pays R289 p.m
All life policies he had during his life time have been cashed up and he had no investments or cash.
Not knowing what to do she approached the Absa Bank with his outdated will and they happily agreed to help her wind up his estate by appointing themselves as executors of her husband's estate.
They failed however to warn her of the 3.99% executor's fee now payable on her property that will amount to R89 000. The estate has no other assets to dispose of.
She lives off a small pension fund and doesn't have any cash or Investments either to pay the exeutors fees.
The executor has now threatened to start selling her property to recover their fees...
Banks are to happy to draft a will for their clients and they automatically appoint themselves as executor's.
Be careful and consider alternate executors as this can have major consequences to your loved ones if their is no cash in the estate to pay fees.
The property you would like to leave behind could wind up been sold to pay the executor.
If you would like a will or an evaluation of your will contact me...don't put it off.
Life cover can obviously provide liquidity in a an estate, but elderly people often don't have life cover anymore.
