My mother died insolvent. As her only surviving con I am her closest relative an I was lead to believe that I cannot be held liable for any debts she may have incurred. Her pension company are demanding payment of the final monthly sum they paid into her bank account.I would be grateful of any advice you could give on this matter.Thank youRoger QuilliamLeeds
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Are you acting as her administrator please?
I am not acting as her administrator. I did deal with other paper work but not as an official administrator.
Who is the administrator please?
An administrator was not appointed. The demand for this payment is the only one I have received. Her bank wrote off her loans and also her overdraft.
Thanks. You should be extremely careful in any dealing with an insolvent estate. There is a strict order of priority fr creditors and if you get it wrong you could be personally liable. My advise would be to pass it over to the Official Receiver to deal with the estate so you don't expose yourself to possible liability.
However they are entitled to their money back but they are an unsecured creditor and you must not advantage them over any other unsecured creditor so you woul dhave to advise them that the estate is insolvent and their claim will be considered together with any other claims from creditors.
If you would like to know the order of priority I will be happy to confirm the same.
I understand. Do you think I should advise the pension company that the estate was insolvent before I contact the Official Receiver ?.
It doesn't make a reat deal of difference either way. The important thing is that you do not pay any money out without legal advice or you could find yourself liable to third parties for having done so. Since advice will cost, better to leave administration to the OR as you have nothing to gain financially.
Is there anything else I can help with?
I don't think so. Your advice is to contact the Official Receiver first ?.
That is what I would do but if the pension company is harrassing you advise them that as the estate is insolvent you are handing the matter to the OR.
I cannot pay this outstanding amount. It's quite a substantial amount.
It is not for you to pay
You are not liable for your mothers debts save as above if you pay out unlawfully.
Ok. I will do that. Many thanks for your help. Regards. Roger Quilliam
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