Glossary of Probate and Inheritance Terms
The probate and inheritance process can be complex, especially if you’re new to the legal and financial terminology. This glossary is designed to clarify common probate terms and concepts related to inheritance advances, estate funding, and other services. Each term is defined simply to help you make informed decisions. Note: Beware of terms like “inheritance loan” or “estate loan” as they may suggest a traditional loan, but they are often cash advances that do not involve repayment or interest, like the services provided by My Inheritance Cash.
A – Z Glossary
Administrator
The individual appointed by the court to manage an estate when no will exists or an executor is not named. This person oversees the probate process, including managing assets and settling debts.
Age of Majority
The age when a person acquires all the rights and responsibilities of being an adult. In most states the age of majority is 18.
Assignment
The transfer of legal rights from one person to another.
Authentication
The process for verifying that the deceased’s last will and testament is valid. The probate court typically relies on witness statements when making its determination.
Beneficiary
A person or entity named in a will or trust to receive assets, funds, or property from an estate. Beneficiaries are often family members, friends, or charitable organizations.
Conservator
Person or institution a court appoints to protect the interests of an incompetent and act on their behalf as a guardian.
Creditor
A person (or institution) to whom money is owed.
Creditors’ Claims Period
Specific time frame, as defined by state probate laws, during which creditors can file a claim against a decedent’s estate.
Custodian
A person who will dispense and manage funds on behalf of a child. This person is not subject to court supervision or accounting requirements under the Uniform Transfers to Minors Act.
Date of Death
The specific date and time the deceased is declared legally dead by a physician, coroner or medical examiner. It can also be the date that an individual disappears under life-threatening circumstances.
Debtor
Person who owes money.
Decedent
The person who has passed away, leaving an estate to be distributed according to their will or, if no will exists, by state probate laws.
Default
The failure to fulfill a legal obligation, such as neglecting to pay back a loan on schedule.
Elective Share
A probate law enabling a spouse to inherit a specific portion of the estate after their partner’s death regardless of a will.
Encumbrance
Any claim or restriction on a property’s title.
Estate
The total assets, property, debts, and financial holdings owned by the decedent at the time of death. The estate must go through probate before any distribution to beneficiaries.
Estate Loan
While some refer to this as a “loan,” it is actually an advance on future inheritance. Companies like My Inheritance Cash allow heirs to access inheritance funds sooner by advancing a portion of the inheritance. This is not a traditional loan and does not involve interest or repayment obligations. Instead, a one-time fee is typically applied to the advance amount.
Executor
The individual named in a will who is responsible for managing the decedent’s estate. The executor’s duties include paying debts, managing assets, and distributing funds to beneficiaries as specified in the will.
Fiduciary Duty
An obligation to act in the best interest of another party. For instance, a corporation’s board member has a fiduciary duty to the shareholders, a trustee has a fiduciary duty to the trust’s beneficiaries, and an attorney has a fiduciary duty to a client.
Heir
A person legally entitled to inherit from the estate if the decedent has no valid will. Heirs are typically family members or close relatives, such as children, spouses, or siblings.
Holographic Will
A handwritten will.
Inheritance
Assets, money, or property received by heirs or beneficiaries from a decedent’s estate, usually after the probate process is complete.
Inheritance Advance
A service allowing beneficiaries to receive a portion of their inheritance before probate is finalized. Unlike a traditional loan, an inheritance advance does not require repayment or interest. My Inheritance Cash provides non-loan inheritance advances to help heirs access funds sooner.
Inheritance Loan
This term can be misleading, as it suggests a traditional loan with interest and repayment. Companies like My Inheritance Cash provide inheritance cash advances rather than loans, meaning there are no monthly payments or accumulating interest. Beneficiaries can receive a portion of their future inheritance without debt, allowing for faster access to needed funds.
Intestate
The legal term is used when a person dies without a valid will. In intestate cases, the estate is distributed according to state laws.
Legatee
A person named in a will who will inherit property, synonymous with a beneficiary.
Living Trust
A trust made — and in the case of revocable living trusts, changed — while the maker is alive. Irrevocable trusts cannot be modified.
Living Will
A document outlining the maker’s wishes for specific circumstances, such as when they must receive medical treatment or are on life-support.
Non-Loan Inheritance Advance
A financial service (like that offered by My Inheritance Cash) allowing beneficiaries to receive part of their inheritance upfront without accruing debt or interest, unlike a traditional loan.
Personal Representative
Another term for the executor or administrator responsible for managing the estate through the probate process, handling assets, paying debts, and distributing inheritances to beneficiaries.
Petition for Probate
The probate court document that summarizes a will’s provisions and names the heirs.
Pour-Over Will
Testamentary device wherein the writer of a will creates a trust, and decrees in the will that the property in his or her estate at the time of his or her death shall be distributed to the Trustee of the trust.
Probate
The court-supervised process of verifying a will, settling debts, and distributing the estate to beneficiaries. Probate often takes several months and, in some cases, years to complete.
Probate Advance
A type of advance where beneficiaries receive a portion of their inheritance early, typically in exchange for a one-time fee. This option does not involve debt, interest, or repayment.
Probate Court
A specialized court that oversees the probate process, ensuring that all legal requirements are met before distributing the estate according to the decedent’s will or state laws.
Revocable Trust
A legal document that may be changed or cancelled that allows you to maintain control of your assets. It is used to avoid probate and for estate planning purposes.
Statutory Fees
In many states and in the majority of probate matters, the amount an attorney can charge for their services is specified by law as a percentage of the gross value of the estate.
Testate
Refers to a situation where the decedent has left a legally valid will specifying how their assets should be distributed.
Trust
A legal arrangement in which assets are held by a trustee for the benefit of one or more beneficiaries. Trusts are often set up to manage or distribute assets without needing to go through probate.
Venue
County & State where decedent passed away.
Will
A legal document that outlines how a person’s assets should be distributed after their death. The will names an executor to carry out the decedent’s wishes and manage the estate.