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FREQUENTLY ASKED QUESTIONS
You may
scroll through all the answers below or you may
click on
any individual question and go directly
to its answer
- Who is eligible to receive a cash advance?
- How do I pay back the money?
- Are there any application fees?
- How large can the cash advance be?
- How long will it take to get my money?
- Will credit problems prevent an heir from getting an advance?
- What if there are insufficient funds in the estate or trust to repay the cash advance?
- What happens if a previously unknown creditor makes a claim on the estate?
- Can an heir qualify for an advance even if there is no will?
- What happens if the distribution of the estate is delayed?
- Are there any geographic limitations on funding?
- What if the probate is in a different state?
- What are the criteria that determine the cost of an advance?
- What steps need to be taken to apply for an advance?
ANSWERS TO QUESTIONS
- Who is eligible to receive a cash advance?
An heir who will be inheriting at least $17,000 from a probate which is already open or is currently
being opened; or a beneficiary of a trust who will be receiving at least
$17,000 in distributions from the trust within three years. The trust instrument
must not limit the beneficiary's right to assign an interest in future trust
distributions (a so called "spendthrift clause").
- How do I pay back the money?
You will receive a cash advance and then you will
sell to (technically, "assign to") us the right to receive
a fixed amount of money out of your share of the estate or trust.
We are therefore paid directly out of the distribution
of the trust or estate and amounts in excess of our payment obviously
go directly to you.
- Are there any application fees?
NO. Fees are only charged on deals that are actually funded, and are deducted from the advance.
- How large can the cash advance be?
Cash advances can be provided from a minimum of $5,000 to a
maximum of $100,000. As a rough rule of thumb, assume the advance cannot
exceed 30% of your expected distribution from an estate or trust.
- How long will it take to get my money?
The average time is about one to two weeks after the paperwork is
received but many advances are made in 2 to 5 days if all the paperwork
is in order.
- Will credit problems prevent an heir from getting an advance?
We will obtain a credit report in preparing a case for funding,
primarily to determine that there are no judgments, child support or bankruptcy proceedings that might interfere with payment of the assignment.
A poor credit report alone, including delinquencies, discharges in bankruptcy, foreclosures, etc., will generally
not prevent an heir or beneficiary from receiving an advance.
- What if there are insufficient funds in the estate or trust to repay the cash advance?
This is one of the risks that we assume when we accept an assignment from an heir or trust beneficiary.
The heir or beneficiary who gives true information on the application and honors the assignment agreement has no
personal liability for payment of the advance.
- What happens if a previously unknown creditor makes a claim on the estate?
This is one of the ways a trust or estate may end up with insufficient funds to
repay the advance in full, and it is a risk we assume. We can only receive those distributions from the probate or trust that are
due to you as the heir or beneficiary. Medical claims arising from the last illness are a major concern.
We absorb the loss and have no recourse on you as the heir unless you were aware of the claim(s)
and failed to tell us about it in the application process.
- Can an heir qualify for an advance even if there is no will?
If a person passes away and does not leave a will, then that person's estate is said to be intestate.
Every state in the US has different laws governing an intestate estate. The only way to be certain that an heir is
inheriting from an intestate estate is to contact the estate attorney and determine what portion,
if any, they are entitled to under the law of the state where the decedent resided.
- What happens if the distribution of the estate is delayed?
We must wait until the estate or trust is ready to distribute. There is no recourse to you for any
delays in distribution--this is just another one of the risks we assume.
- Are there any geographic limitations on funding?
No, but quite truthfully most advances are to heirs or beneficiaries here in the United
States. Advances based on estates in other countries are considered only in very limited circumstances and require
detailed, reliable information about the estate and full cooperation from the estate attorney.
- What if the probate is in a different state?
It is common for the heirs of an estate to reside in a state different from the
deceased's state. This rarely causes a difficulty.
- What are the criteria that determine the cost of an advance?
The size of the advance, complexity of the estate or trust, and the estimated time to
distribution are the major factors affecting pricing.
- What steps need to be taken to apply for an advance?
To start the process you can fill out a simple application form
which you can do at this website. Click Here to submit
your form. After acceptance of your application and prior to final funding, you will eventually be asked to provide the following information:
- Driver's License
- Social Security Card
- Petition for Probate
- Order Appointing Executor or Administrator
- Inventory and Appraisement (or statement of assets and liabilities)
- Will and/or Trust (if applicable)
- Death Certificate
- Documents for any loans or assignments previously made against inheritance
- Listing Agreement, Sales Contract or Appraisal (if real property involved)
- Property Insurance (if real property)
- Title Report (if real property)
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