What is an Inheritance Cash Advance?
An inheritance cash advance is an early payment of money to you, and it is approved based on the expected future distribution of your inheritance from an estate. In the simplest possible terms, when someone passes away, everything they owned is gathered together in what is called an “estate.” Then, through a legal process called “probate,” the estate distributes the money and possessions to those who are entitled to it. The portion that someone receives is called an “inheritance.”
Probate is the process of gathering assets of someone has died and then paying creditor claims, taxes, and administrative costs. What’s left over goes to you and other beneficiaries (also called heirs) under the terms of the will, or by statute if there is no will. Unfortunately, for the people set to receive an inheritance, called “heirs” or “beneficiaries,” this process typically takes many months or even years. As you can see, it’s a slow process—heirs can wait months or even years to get their distribution!
But what if you are an heir or beneficiary and you can’t wait that long? Fortunately, Heir Cash Now offers a way for you to receive money immediately, based on what you are expecting to get from the estate!
If you could get your inheritance money early, what would you do with it?
In this short video, Heir Cash Now Manager Matt will help you understand how an advance works, its advantages, and how to get your inheritance money early.
A Fixed Price and No Risk To You
The money that an heir receives from an inheritance advance company is actually an immediate purchase of a portion of an heir’s expected future inheritance.
In essence, an inheritance funding company buys a piece of an heir’s future inheritance, even though the heir hasn’t received their inheritance yet.
Sometimes heirs think of this as a loan, (called a “probate loan” or an “inheritance loan”). It’s easy to understand why this sounds like a loan, because we give you money now and get paid back later. However, even though you haven’t received it yet, you actually do own your expected inheritance. Because you own it, you are allowed to sell some or all of it. For this reason, your credit is not even an issue!
The heir is then free to use their inheritance advance any way they wish—to pay bills, invest in a business, pay for college, or take care of medical expenses. The list of reasons why someone might want their inheritance early is endless.
The term “inheritance funding” refers to the act of a company advancing money to heirs who need their inheritance sooner than they would receive it from an estate. While an inheritance advance is sometimes called an inheritance loan, it is actually dramatically different than a loan.
A loan is a borrowed sum of money that the borrower is expected to pay back, with interest, with interest, to the lender. An inheritance advance represents the purchase price of an agreement between the heir or beneficiary and the inheritance funding company to buy a fixed dollar amount of the future distribution from an estate.
However, with an inheritance advance, the heir is ot personally responsible for paying the funds back, and there is no interest.
Therefore, the heir is not personally obligated to pay the money back — even if the inheritance never materializes — for whatever reason (with the exception of fraud). The estate, which is overseen by the probate court, is responsible for payment. As such, an inheritance advance comes with no risk to the applicant at all.
Getting an inheritance can be a long and complicated process that can easily drag on far longer than expected. If you’re thinking, “How can I get my inheritance now?” an advance might be exactly what you are looking for. For someone fortunate enough to have an inheritance coming, an inheritance advance can provide money now to get a vehicle back on the road, jump on a business opportunity, or pay urgent bills.
Quick Facts about an Inheritance Advance:
- An inheritance advance can provide an heir with needed liquidity far faster than it will take an estate in probate to pay out
- An Inheritance advance can range from $5,000 to $30,000 or more.
The amount of the advance that an heir is eligible to receive depends on several factors, most important being the amount that the heir is likely to receive from the estate
- Many clients receive a first advance, and then get more money later if the need arises
- For someone to be eligible for an advance (aka inheritance loan or probate loan), they should be an heir or beneficiary of an estate currently in probate who is expecting a distribution from the estate of at least $17,000.
Have you been asking yourself, “Can I get some of my inheritance money now?” or “Can I borrow against my future inheritance?”
If the answer is yes, you are in the right place. Heir Cash Now helps people like you, from California to Maine, Florida to Washington, and everywhere in between!
Call Today for a FREE Consultation!
What are the advantages of an inheritance advance?
There are many benefits of an inheritance advance. There is NO Risk to you, as the estate pays it back, not you personally. There are NO interest charges, since this is not a loan but a purchase. There is NO credit check — since repayment comes from the estate your credit is not a factor. There are NO hidden fees, and you know exactly what the costs are to you up front. And last but not least, once your advance is approved you can receive your money within 24 hours!
How much do I need to qualify for an advance on my inheritance?
You will need a minimum expected inheritance of about $17,000 to qualify for a $5,000 advance.
What is inheritance funding and how does it work?
Inheritance funding describes what happens when you access now some of the value of the funds or assets that you are set to inherit later. We call this process an inheritance advance. Other common terms for an inheritance advance include: estate loan, probate advance, probate loan, and others. As noted earlier, a probate advance is not a loan, but rather a purchase, because Heir Cash Now is actually buying something you own—a piece of your expected inheritance—for a purchase price.
Why might I consider an inheritance advance?
There are several reasons for wanting to get an advance backed by your inheritance. When you get an advance, the money is yours to do with as you wish. Here are some common reasons people want to receive some of their inheritance money early:
- Cover the cost of settling the estate including legal fees, maintaining estate assets, real estate repairs, funeral costs, and other expenses.
- Pay bills and pay off debts faster and without late fees. Bills don’t stop when a loved one passes. You may need to pay off their debt before accruing more interest charges and fees. You can also use your advance to pay off personal debt and bills to avoid high interest rates and fees.
- Cover urgent day-to-day expenses such as rent, bills, etc. to help keep you afloat when times get rough.
- Overcoming Job loss
- Paying inheritance taxes or other taxes due
- Dealing with the cost of much-needed medical treatments, either for you or a loved one.
- Moving expenses — whether the move is necessitated by the loss of your loved one or for some other reason, moving is expensive!
What you do with an advance is up to you…the potential uses for your funds are limitless!
Why wait, we can help! Time is your most valuable asset, so why wait to put your inheritance to use! Call us today at (860) 800-6633 to get your money fast.
Where can I get an inheritance advance?
You won’t find inheritance financing at a bank or credit union. Most of these companies cannot provide a loan against your interest in an estate. That’s where an inheritance funding company such as Heir Cash Now comes into play. We are not concerned with your credit history, and you can get your funds within a few days.
What does the Inheritance Advance process look like?
No two inheritance advance companies are exactly the same. What sets Heir Cash Now apart is our service—we strive to create a personal connection with our clients to understand their situation and relate to their concerns. When you call us, we will make sure all your questions are answered and that there are no surprises. Don’t take our word for it, check out our Testimonials Page to read what our customers say about us!
This is our in-depth step-by-step process:
Step 1: Give us a call at (860) 800-6633. If we are on the line with other customers leave us a message and we’ll call you right back. Or, if it’s after hours or not a good time to talk, fill out our convenient form and we will call you back within one day.
Step 2: Once we connect on the phone, we will discuss your situation, figure out how much you need, and find out more about the estate….You don’t even need to fill out a paper application. We can take your application right over the phone and get started with our review process immediately.
Step 3: Next, Heir Cash Now completes our research about the inheritance, including talking to the estate lawyer to verify your inheritance and other information about the estate.
Step 4: Once we have the information we need, we will contact you to confirm your eligibility to receive an advance and verify the amount of money you wish to receive. Then we send you a simple contract via email that you can sign within minutes.
Step 5: Once the contract is signed, you will receive the money you need, either the same day or within one business day.
Step 6: Next, we file the agreement with the probate court. We then essentially wait in your shoes to receive that specific portion of the estate that we have purchased from you, while you receive the rest of your inheritance. That happens when the estate distributes the money. We then send you a “cash back rebate,” if the estate pays out within a certain period of time as outlined in your agreement, if one is due.
What documents will I need to get an inheritance advance?
After our initial phone conversation, we will get right to work researching your inheritance so we can get your advance approved. While we can often get copies from the estate attorney or the court website, it is always helpful if you are able to provide copies of the following documents, if you have them:
- Death Certificate
- Will (if one exists)
- Legal documents involving the probate
- Letters of administration
- Documentation stating who the estate’s administrator/executor and attorney are
- Inventory of estate assets and additional information about those assets (such as home appraisal or bank statements)
- Trust, if there is one
Do I need a bank account to get an inheritance advance?
We understand that not everyone has a bank account and we will work with you to get you the funds you need. We can transfer your funds to a money card such as Netspend, Bluebird, Brinks, Chase Liquid, Green Dot, etc. We can also do a transfer via PayPal, or send the money through your local WalMart that you can pick up in cash.
I got inheritance funding. Now what?
If you received an inheritance advance, there’s little else you need to do! Repayment of the portion of the inheritance that you have sold (called the assignment amount) becomes the responsibility of the estate. There is no risk to you at all.
You may even be eligible to receive a cash back rebate if the probate process is complete within a certain amount of time as specified in the contract.
Sometimes our clients forget that they are going to receive cash back and are pleasantly surprised! Call us at (860) 800-6633.
How do I make the most of my inheritance advance?
Getting an inheritance might make you feel as if you’ve won the lottery. But many people, when they learn about how long probate takes, instead find themselves asking, “how can I get my inheritance now?” If that sounds familiar, call us at 860-800-6633 to talk about how much you qualify for. At Heir Cash Now, we always love to talk to our clients about what they will do with their inheritance. With just a phone call, you can take care of urgent needs and priorities right away, without waiting for your inheritance.
You can always ask for another round of an inheritance cash advance as the need arises. Many heirs choose to receive multiple rounds of advances when probate takes longer than expected or additional expenses come up.
Examples of how heirs use their advance:
- Pay off debts
- Emergency fund
- Save for retirement
- Start a college fund
- Purchase or fix a car
- Keep a roof over you or your family’s heads
- Start a business
What are inheritance taxes?
An inheritance tax is a tax that an heir or beneficiary pays after receiving an inheritance. The inheritance tax is paid after the heir gets the inheritance. Currently, there are six states that impose an inheritance tax: Iowa, Kentucky, Pennsylvania, Maryland, Nebraska, and New Jersey.
What is an estate tax?
An estate tax is a tax that the estate pays on the value of the estate based on the size of the estate at the time of death. This tax is taken out of the estate and goes to the state or federal government. The federal estate tax only applies to estates larger than $11.4 million. Currently, there is an estate tax in Connecticut, the District of Columbia, Hawaii, Illinois, Maine, Maryland, Massachusetts, Minnesota, New York, Oregon, Rhode Island, Vermont and Washington. In Connecticut, for example, estate tax rates range from 7.20% to 12.00%, but only for estates that are worth more than $3.6 million.
In Connecticut, like other states, residents are sometimes victims of inheritance scams that usually start with an email. The email says that the person is due to receive an inheritance from a relative, often a distant relative. The email initiates a conversation in which the scammers say that the person must pay taxes or other fees to release the inheritance. Sometimes the scammers say that a trunk full of valuables is waiting in a warehouse to be released. Police have warned residents about these inheritance scams and asked them to not send personal information or bank information.
The first probate court in the United States was initiated in Massachusetts in 1784. Similar courts were subsequently established in other states under the name of surrogate’s court, orphan’s courts, courts of the ordinary, register of wills, or other names.
What is probate?
Probate is a process managed by courts to facilitate the distribution of inheritances. Typically, the court file is public and can be inspected by anyone. The purpose of probate is to prevent fraud after someone’s death.
A probate process can be initiated either to validate a will or to apply the laws of intestacy. A person is said to have died intestate if he or she did not leave a will.
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Probate without a Will (intestacy)
To find out who inherits the assets of the person who died, including property for which no beneficiary has been formally named (such as a house), state law determines who is to receive the property. Every state has “intestate succession” laws that parcel out property to the deceased person’s closest relatives.
Who Manages the Estate?
When there is NO will naming an executor or administrator, state law outlines a list of people who are eligible. If a probate court proceeding is necessary, the court will name someone from that list. Most states make the surviving spouse or registered domestic partner, if any, the first choice. Adult children usually come next, followed by other family members.
Who Gets What: Basic Rules of Intestate Succession
Every state has laws that determine what happens to property when someone dies without a valid will and the property was not handed down in some other way (such as in a living trust). Typically, only spouses, registered domestic partners, and blood relatives inherit under intestate succession laws. Unmarried partners, friends, and charities do not receive anything.
If the deceased person was married, the surviving spouse usually gets the biggest share. If there are no children, the surviving spouse often receives everything. More distant relatives inherit only if there is no surviving spouse and if there are no children.
In the rare event that no relatives can be found, the state takes the assets.
Have Questions about Probate without a Will? We can help! Call now! (860) 800-6633
Probate with a Will
In cases where there is a will, the will typically specifies who should be the “Executor” (for a man) or “Executrix” (for a woman). This person’s job is to “execute,” or carry out, the wishes and instructions of the person who died. In addition to appointing this person, the will also names the people who are set to receive money and property.
A bequest is a set amount of money or a specific item that is to go to a specific, named individual. For example, “My friend Paul Smith is to receive $10,000” or “My niece Veronica is to receive my diamond necklace.”
Typically, the word “heir” refers to a person who would normally be set to receive money by virtue of their relationship with the decedent. For example, a son of the decedent would naturally be an heir.
A “beneficiary” is someone who would not normally be an heir, such as a friend or more distant relative.
A will is almost limitless in terms of what it can specify. The will can create a trust, which operates beyond the probate court and can take on a life of its own for generations after the death of the decedent. The will can even appoint money for the care and maintenance of pets.
A will can also omit people who would normally be set to receive an inheritance. For example, if a child fell out of favor with a parent or received significant assets while the decedent was still alive, the will can specifically exclude that person. Sometimes the will may include language that notes that the exclusion was not for any lack of affection for that person. In other cases no such niceties are included with the omission.
The will may also contain a variety of specific provisions about the payment of inheritance taxes, debts and liabilities such as funeral expenses, creditor claims and medical bills, and the effective management of the estate.
In many cases, the probate court or “register of wills” is set up to keep the will on record and will already have a copy. In other cases, the will is kept in a file drawer or other location and must be found. Sometimes wills are never found or are hidden from the court because their provisions are unfriendly to the person who finds it. That is actually fraud. That is why it is critical that wills are stored in a secure location where they can be admitted into the probate without any dispute. Visit our blog for more about wills.
Typical Probate Process
When someone passes away, the first step in the probate process is to determine if there is a will and to locate it. The will should be submitted and filed with the probate court, which ensures that it is carried out. In cases where there is not a valid will, or it can’t be located, the process is carried out under state laws that determine who gets what.
If you are managing an estate, some of your first tasks will be to look over the will to determine who the beneficiaries are, what assets the deceased owned (and the value of those assets), and what debts the deceased owedowe. If you are not the named executor or administrator of the will, it is important that they are contacted.
In most cases, the family representative will hire a qualified probate and estate attorney to assist with the management of the estate. While the attorney works for the personal representative, the experience and knowledge they bring to the process is vital. Representing an estate is a highly specialized body of knowledge, and any mistakes and omissions will create expensive and time-consuming delays. Retaining an attorney is usually money well spent — and the attorney fee will usually come from the estate, not you personally.
In cases where there are no liquid assets in the estate to pay the attorney’s retainer, Heir Cash Now may be able to provide a cash advance to bring in the attorney, so long as there are verifiable assets in the estate (such as property that will later be sold.)
A bank account in the name of the estate must be opened to handle any money that continues to come into the estate (income, earnings, or savings) or to pay any bill dues that the estate will be paying.
Determine the Beneficiaries named in the Will, or specified by state law, and put together a complete list including:
- Phone number
- Email address
- Date of birth
- Social Security Number if you have it
If someone named in the will as a beneficiary has died, a certified copy of that person’s death certificate should be submitted to the probate court.
Next, the personal representative or executor will take an inventory of everything that the person owned. Being an executor/personal representative, you will have legal authority to obtain information from banks, investment companies etc to help in compiling the inventory.
Asset Inventory Checklist for Probate Court
- Checking and savings accounts
- Stocks or brokerage accounts
- Savings bonds
- Life Insurance policies
- Retirement plans, including 401(k)s, IRAs, or 403(b)s
- Benefits, including social security and veterans’ benefits
- Real estate
- Cars and boats
- Jewelry, art, and other collectibles or valuables
List of Debts
- Credit cards
- Medical bills
- Student loans
- Car loans
- Child support
- Payday loans
- Name of all legal owners titled on the property
- Percentage owned by each legal owner, specifically the deceased percentage
- Fair Market Value of the property
- Check for a named beneficiary or joint tenancy with rights of survivorship
This information will all be necessary in order to complete probate. Once this information is gathered, the personal representative, named executor of the will, or an attorney can submit it to the probate court.
Submitting the Will to Probate Court
Once you have everything ready, you will need to submit the will to probate court:
Petition the court
In order to start a probate, the personal representative or the lawyer will need to submit a petition for probate, a copy of the death certificate and a valid will (if it exists). To appoint an executor/administrator, it is not necessary to know specifically what the deceased owned. In order for the court to accept the petition and grant the official appointment, the court requires that all interested parties (heirs, family etc.) consent to the petition and acknowledge the will.
Notifying Heirs, Creditors, and Interested Parties.
The next step is to notify all the parties of what is happening.
Changing Legal Name of Assets.
After the appointment and the notifications, the name on all of the assets must be changed from the deceased to the “estate of (deceased name).”
Paying Creditors, Taxes, Expenses and Heirs.
An inventory of all of the assets that are in the estate should be filed. At this point, it is very important that no funds be paid to heirs until you have paid all estate expenses or know for sure that the estate has sufficient funds to pay all expenses. The priority in payments is as follows:
- Funeral Expenses
- Taxes (Federal, State, Local)
- Estate expenses
In some states, the court overseas and approves the distribution of estate assets closely. In other states, or depending on the situation, the state entrusts the parties to follow the correct procedures with minimal oversight. In cases where inappropriate conduct is suspected, it may be necessary for an heir to retain their own lawyer to represent their interests and petition the court to oversee the process, or for the court to intervene and appoint independent parties to administer the estate.
Reporting to the Court and Closing the Estate.
The last step in probating a will/estate is to inform the court what you have done and petition the court to approve the final accounting, distribute the assets, and close the estate. This step involves providing a final accounting.
When all is said and done, this process often takes many months or even years. That is why so many people find it helpful to be able to access a portion of their inheritance now, right away, without waiting. To apply for an inheritance cash advance, contact Heir Cash Now today! We are here to help, and we look forward to talking with you!