Tailored Legal Support Leads to a Hidden Account Discovery
Elite Law Solicitors are dedicated to providing dependable legal advice and services to both individuals and businesses. Elite Law Solicitors do not believe in providing a one-size-fits-all approach. Instead, they approach every client with a clean slate, investing time in understanding their needs and requirements before providing bespoke and tailored solutions.
Meg Wilton CILEX Lawyer and TEP, Elite Law Solicitors based in the Leighton Buzzard office explains: “We pride ourselves on offering comprehensive advice to clients. This often means asking the right questions and checking the wider picture to see if there is a recommendation we can make beyond our services which is in the best interests of our client.
“One recent probate case is a good example. Our clients, the stepson and stepdaughter of the deceased, were left a property in London and the stepson and his daughter were living in the house. They were worried about potential inheritance tax due on the estate and also the immediate financial burden of hiring a solicitor to administer the estate. One consideration was that they may have needed to sell the house they had been living in to cover costs, which would have caused huge disruption in their lives and was a great concern to them.
“Their stepfather had spent time abroad, and although they did not believe he had any significant assets held in any bank accounts, they could not be certain, so I advised an asset search through Estatesearch.”
How a Financial Profile Search Uncovered £270,000
Estatesearch’s Financial Profile Search makes enquiries of more than 150 organisations, searching over 450 companies and brands including banks, building societies, investment managers, share registrars, pension providers and insurers to help identify accounts. Private client solicitors then make further enquiries if a financial institution confirms the subject holds, for example, an account or a pension of which they were previously unaware.
Meg Wilton continues: “We have used Estatesearch’s services for several years and it is not uncommon to discover the odd account or asset but no one was prepared for what transpired on this occasion. The search revealed an online account containing around £10. This was no surprise as the stepfather had been overseas and online accounts provide easy access to funds while abroad. A high street bank also confirmed they had accounts on file which had been closed. However, a third bank responded with a positive match and further enquiries revealed a hidden account containing over £270,000 which no-one was aware of.
“This represented a huge windfall for our clients. Although funds and the estate were now subject to IHT, both beneficiaries will still receive a substantial sum once the HMRC account and legal fees are settled. It also means that the stepson and his daughter can remain living in the house. It was rewarding to work on a case which had such a positive impact on our clients.
Preventing Penalties and Supporting Clients with Confidence
“By contrast, if the asset had been discovered after the estate had been distributed, it would have been likely they would have needed to pay interest and penalties to HMRC, so they were pleased and relieved this bank account was discovered thanks to the Estatesearch’s Financial Profile Search we recommended.
“This case has also been a useful example to share with clients to explain about the importance of an asset search. It’s not just about the potential of finding ‘buried treasure’ but also avoiding any penalties or fines relating to IHT or potential additional legal fees should assets become known, even years later and the estate needs to be re-distributed.
“Where we are executors on an estate, as a firm, we have now implemented a company-wide policy where we will always undertake an asset search. We have also developed a client letter which explains the services which are available to lay executors. This includes a Financial Profile Search in addition to Section 27 notices or insurance and a Will Search. The client can then clearly confirm if they wish to instruct these services, and fully understand the risks if they don’t. This means we will have a formal record of our recommendation, and clients’ responses.
“At Elite Law Solicitors, we always aim to provide a comprehensive service and best advice, tailored to our clients’ needs. Estatesearch’s reports and services support us and mean we can do an even better job for our clients. We highly recommend Estatesearch.”
Originally Published in LawNews and Today’s Wills and Probate.