If you are the only child, you avoid probate for accounts, and CDs by having your name added and made co-owner with right of survivorship if your mother is competent to make these changes.
Probate isn't always needed. So much of all this depends on what type of assets they have at death, and how they might need to be distributed. Probate all in all is really not expensive if it avoids significant problems later on. Personally I think probate is good to do as it provides clear & definite legal standing on the deceased assets. The cost and time isn't that much if you have done the basic legal before (DPOA, MPOA, will, codicil,etc) & keep all paperwork on assets & debt somewhat current.
Now for bank accounts, they can do all their accounts to be POD - pay on death. Those are outside of probate. The parent will need to be obviously competent to do this at the bank. They will need to go to the bank to do the paperwork, present their ID, etc. If they are doing several accounts, you should fully expect a bank officer to meet with them solo in their office - to make sure that they know what their doing means. If they can't do this because they have dementia, then it's too late to do this approach.
Crowe - I'm not sure if POD are a totally different creature than right of survivorship?
Now keep in mind that IF they are on Medicaid and they have a home, Medicaid will have to file an intent to do an estate recovery on all assets.
Does she have a will? If assets are moved to a trust probate is normally avoided. Consult an elder law attorney. Are POA's in place? Are they standing or springing POA's?
Thank You. I will tell her. She is new or just facing reality, that things need to be done now....I think they have a living trust, I will tell her to contact an elder law attorney, as I really dont need to be involved, and have enough on my plate. I will suggest to her to view this website. It has been so helpful for me.....
Just one piece of general advice where wills, avoiding probate, etc. are concerned (learned the hard way) - there are all kinds of strategies to avoid probate, BUT can you trust everyone involved in the plans? One thing a lawyer told me: probate may cost, but if you cannot trust the people involved to follow the plan, then probate at least is done under court supervision and you will likely have things turn out as you intended. I've seen people so keen to save a few bucks (relatively) that they create a nightmare. They know all about money but they have no people sense.
State limits on probate vary, but let's say your state is $50,000 and mom owns a house. That alone would be enough to trigger probate proceedings. They really need to sit down with an estate attorney, one that the mom trusts.
(DPOA, MPOA, will, codicil,etc) & keep all paperwork on assets & debt somewhat current.
Now for bank accounts, they can do all their accounts to be POD - pay on death. Those are outside of probate. The parent will need to be obviously competent to do this at the bank. They will need to go to the bank to do the paperwork, present their ID, etc. If they are doing several accounts, you should fully expect a bank officer to meet with them solo in their office - to make sure that they know what their doing means. If they can't do this because they have dementia, then it's too late to do this approach.
Crowe - I'm not sure if POD are a totally different creature than right of survivorship?
Now keep in mind that IF they are on Medicaid and they have a home, Medicaid will have to file an intent to do an estate recovery on all assets.