When a person passes away, their assets—such as bank accounts, property, and personal belongings—collectively known as their "Estate," must be managed and distributed. In Singapore, this is done through a legal process. Whether or not the deceased had a Will significantly impacts how this process unfolds. Here is a clear, step-by-step overview to help you understand the essentials.
What is a Grant of Probate / Letters of Administration?
If the deceased had made a will, you will be applying for a Grant of Probate. The person who makes the application is known as the "Executor".
If the deceased did not make a will, you will be applying for a Grant of Letters of Administration. The person who makes the application is known as the "Administrator".
With the Grant of Probate / Letters of Administration, the Executor / Administrator will be able to do the following:
Close the bank accounts
Liquidate investments
Sell or transfer property
Settle any outstanding debts
Distribute the remaining assets to the beneficiaries
In short, the Executor / Administrator is the person who will manage and distribute the Estate. It is therefore crucial to choose an Executor / Administrator who is trustworthy and capable of handling the complexities of the probate process, which can take several months to complete.
Who Can Apply?
When there is no will, the following individuals have the right to apply for Letters of Administration, in this order:
The spouse of the deceased
The children of the deceased
The parents of the deceased
The siblings of the deceased
Nephews and nieces
Grandparents
Uncles and aunts
If the individuals with priority do not wish to act as Administrator, they may renounce their right, allowing the beneficiaries to appoint a more suitable person.
Intestate Succession Act: Distribution of Assets Without a Will
When there is no Will, the Intestate Succession Act dictates how the Estate should be distributed. Here’s a summary of how assets are divided:
If there is a spouse but no children: The spouse inherits the entire Estate.
If there is both a spouse and children: The spouse receives 50% of the Estate, while the remaining 50% is divided equally among the children.
The Act provides a structured approach to ensure fair distribution of assets in the absence of a Will.
Conclusion
Probate is a crucial process for managing and distributing a deceased person’s Estate. Whether or not a Will is present significantly influences the procedure, with the Grant of Probate and Letters of Administration serving as key documents in the process. If you have not made a Will, it is advisable to do so and choose a reliable Executor to ensure your Estate is handled according to your wishes.
Comments