How an Inheritance Advance Works
1. Free Consultation
We chat with you to learn about the estate and your share. We discuss how much you need and answer all of your questions.
2. Due Diligence and Decision
We research the case, speak to the estate attorney, and confirm if we are able to offer you the advance.
3. Offer and Acceptance
Once approved, we send you the agreement in a simple electronic form. Sign the contract and your money will be on it’s way to you right away!
Many people have never heard about inheritance advance . In Layman's terms, it is an amount of money that an Inheritance funding company provides to an eligible heir immidately, much faster than the estate pays out the expected inheritance.
Technically, an inheritance advance is an immidiate purchase of a portion Heir expected future inheritance,. In this purchase, an inheritance advance company buys a piece of an heir future inheritance, even though the heir hasn’t received their inheritance yet, and provides that heir money immidately: the process is known as an advancement as it happens immidately versus the long estate distribution process
You don’t have to wait for probate to get your money
The administration of an estate is a notoriously long process, with months or more of waiting built in to the process.
Getting your inheritance often involves a long and complicated process that can drag on for years. You might be thinking about how to get some of your inheritance money now in order to keep yourself out of debt, pay bills or jump on a business opportunity. An inheritance advance can provide you the needed liquidity much quicker.
An Inheritance advance can range from $5,000 to $30,000 and sometimes more. The ability to receive an advance is based on the amount that the heir is expecting to receive from an estate. As the estate process takes way much time, many heirs could receive multiple rounds of advances, choosing to get what they need now and then request additional money when the need arises later.
The technical term inheritance funding techincally means an inheritance advance. Sometimes informally called an inheritance loan, however an inheritance advance is actually dramatically different than a loan. A loan is a borrowed sum of money that is expected to be paid back by the borrower with interest to the lending entity. However, inheritance advance is a purchace of an expected inheritance, the heir will NOT be obligated to pay back even if the inheritance never materializes, but the court that is handling the inheritance is responsible and there is no interest to be paid. As such an inheritance advance constitues not risk to the applicant at all.
An eligible heir is a person who is currently involved in a probate and who is expecting to receive money in the form of a distribution from the estate. This can take months, while an advance allows you to access some of your money today to deal with immediate needs and priorities.
Have you been asking yourself, “Can I get some of my inheritance money now?” or “Can I borrow against my future inheritance?” If the answer is yes, you are in the right place, as we help people like you all across the country.
What are the advantages of an inheritance advance?
- No Risk at all — Even if the expected inheritance never materializes
- No interest charges — We buy a fixed dollar amount of your inheritance, so you always know exactly what it will cost upfront. There are no additional fees or charges. Unlike a loan with an interest rate and a balance that grows around the clock, the amount of your inheritance that you are selling is based on a fixed dollar amount so you always know the maximum cost to you from day 1.
- Get cash back – Who doesn’t like to receive cash back? We offer heirs a cash back rebate when we get paid back within a certain amount of time as specified in the contract. Sometimes our clients forget that they are going to receive cash back and are pleasantly surprised and delighted when we send them money at the end of the probate process!
- Take what you need now – Receive an advance to cover what you need now. If you need more later and your expected inheritance is large enough, we can do another advance for you later.
- No Credit Check – Since your ownership of your expected inheritance doesn’t involve your credit, an advance won’t affect your credit and a poor credit score won’t impact your eligibility to receive money from Heir Cash Now.
- Quick Service – We work fast so you get the money within few days. As long as we can get the information we need, some clients receive their advance the same day they call!
How much do I need to qualify for an advance on my inheritance?
Your expected inheritance should generally be roughly $17,000 or more to qualify for a $5,000 advance.
What is inheritance funding and how does it work?
Inheritance funding describes what happens when you access now some of the value of the funds or assets that you are set to inherit later. We call this process an inheritance advance. Other common terms for a inheritance advance include: estate loan, probate advance, probate loan, and others. As noted earlier, a probate advance is not a loan, but rather a purchase, because Heir Cash Now is actually buying something you own—a piece of your expected inheritance—for a purchase price.
Why might I consider an inheritance advance?
There are several reasons for wanting to get an advance backed by your inheritance. When you get an advance, the money is yours to do with as you wish. Here are some common reasons people want to receive some of their inheritance money early:
Cover the cost of settling the estate.
Settling the estate of a loved one — known as the probate process — can be costly. Heirs might be responsible for paying legal fees, maintaining the estate, overseeing repairs, funeral costs and other expenses. An inheritance loan can help you cover these expenses.
Pay bills and pay off debts.
Your inheritance can help you pay existing debts and recent bills such as high-interest credit cards or loans, medical bills, college tuition bills, etc. Paying off these bills and avoiding additional debts can give you a fresh start.
Cover day-to-day expenses.
The probate process can take years, and you just might need the funds to help you get through a tight period. In this case, receiving an inheritance advance can keep you afloat without getting eaten alive by high-interest loans with growing balances.
Where can I get an inheritance advance?
You won’t find inheritance financing at a bank or credit union. Most of these companies cannot provide a loan against your interest in an estate. That’s where an inheritance funding company such as Heir Cash Now comes into play. We are not concerned with your credit history, and you can get your funds within a few days.
What does the process look like?
To receive a portion of your inheritance now, without waiting for probate to close, contact Heir Cash Now so we can help you get the process started. We’ll ask you some questions over the phone about your expected inheritance. The more information you have the better, but if you are lacking information we can often find it for you. Helpful information includes the names and phone numbers of the Executor or Administrator of the estate and the attorney, as well as any court documents or letters you have on hand or can access. Next, we’ll contact the attorney and the court to verify the information and confirm your inheritance and see how well things are moving along. Once you qualify, we send you an online agreement to sign and send you the money that day. Then we file the agreement with the court and wait for the estate to distribute. At that time we receive the amount we purchased from you, while you receive the rest of your inheritance.
What documents will I need to get an inheritance advance?
While we can often access the documentation needed to approve your advance, it is always helpful if you are able to provide any of the following:
- A copy of the death certificate.
- A copy of the will.
- Legal documents involving the probate.
- Letters of administration
- Documentation stating who the estate’s administrator/executor and attorney are.
- Inventory of estate assets and additional information about those assets.
- Personal ID.
I got inheritance funding. Now what?
If you got an inheritance advance, there’s little else you need to do because the rights to a portion of the inheritance have already been transferred over. There is no risk to you at all. The estate is the one responsible for paying back what we are owed, called the assignment amount.
How to make the most of your inheritance advance?
Getting an unexpected sum of money or asset might make you feel as if you’ve won the lottery. But if you act wisely, you might be able turn your inheritance into income and savings that can benefit you for years to come.
- Pay off debts. Use your inheritance to pay off any outstanding debts — especially high-interest debt. You’ll save on interest and won’t have to make monthly repayments.
- Invest your money. Creating a diverse investment portfolio can help ensure that you have at least some income that doesn’t depend on your employment.
- Create an emergency fund. Having funds to cover three to six months of personal expenses helps you avoid a financial burden if large expenses come up that you’re not prepared for.
- Save for retirement. Unsure about investing? Consider putting the money away in stocks, bonds, and interest-bearing accounts to save for retirement.
- Start a college fund. Whatever you can put away for your children’s college account will help keep them out of debt and give them a head start— and keep you from having to support them after college due to their student loans.
- Purchase or fix your car
- Start a business
- Keep a roof over your head
How you can get an inheritance advance?
- Step 1: Give us a call during normal business hours at (860) 800-6633 phone call, or if it’s after business hours fill out our convenient form and we will call you back.
- Step 2: Once we connect on the phone, we will discuss your situation and how much you need and find out more about the estate.
- Step 3: Next, Heir Cash Now completes our research about the inheritance, including talking to the estate lawyer to verify your inheritance.
- Step 4: Once we have the information we need, if we are able to approve the advance we will prepare a contract and send it to you for your signature.
- Step 5: Once the contract is signed, you will receive the money you need within 24 hours.
- Step 6: We file the agreement with the probate court and essentially wait in your shoes to receive that specific portion of the estate that we have purchased from you.
Remember: An inheritance advance is not a debt or a loan that you took on and have to pay later. It is a purchase of a portion of your inheritance. Once the purchase is finalized, you don’t have to worry about paying it back because the estate handles that for you.
Overview of Probates and Estates
The first probate court in the United States was initiated in Massachusetts in 1784. Similar courts were subsequently established in other states under the name of surrogate’s court, orphan’s courts, courts of the ordinary, or other names.
What is probate?
Probate is a process managed by courts to facilitate the distribution of inheritances. Typically, the court file is public and can be inspected by anyone. In some courts, case information is available online for review and/or download. In some states, it is necessary to call and receive assistance from the clerk of a court or go to the courthouse to view the file in person. The purpose of probate is to prevent fraud after someone’s death.
A probate process can be initiated either to validate a will or to apply the laws of intestacy. A person is said to have died intestate if he or she did not leave a will.
- In cases where there is a will: The court validates the will and it is certified as a valid public document that is the true last testament of the deceased.
- In cases where there is NO will (intestacy): The estate is settled according to the laws of inheritance in the state of residence of the deceased or where their property is located at time of death.
Two Types of Probate: A probate with a Will and a Probate without a Will.
The probate without a Will (intestacy):
There are some important things to know about how to settle the estate and distribute the assets of a deceased person who hasn't left a will.
First, it's important to understand that many kinds of assets aren't passed down by a will, such as:
- Life insurance proceeds.
- Bank accounts, and other assets held in joint tenancy, tenancy by the entirety, or community property with right of survivorship.
- Property held in a living trust.
- Funds in an IRA, 401(k), or retirement plan for which a beneficiary was named.
- Funds in a payable-on-death (POD) bank account.
- Stocks or other securities held in a transfer-on-death (TOD) account.
- Real estate or vehicles held with a transfer-on-death (TOD) deed or title document.
To find out who inherits these types of property, you'll need to locate the documents in which the co-ownership or beneficiary designation was established and see how they are written, or contact the company holding the accounts.
To find out who inherits other assets, including property for which no beneficiary has been formally named (such as a house), state law determines who is to receive the property. Every state has "intestate succession" laws that parcel out property to the deceased person's closest relatives. (Intestate means the person died leaving no will)
Who's in Charge?
When there is NO will naming an executor or administrator, state law outlines a list of people who are eligible. If a probate court proceeding is necessary, the court will name someone from that list. Most states make the surviving spouse or registered domestic partner, if any, the first choice. Adult children usually come next, followed by other family members.
Who Gets What: The Basic Rules of Intestate Succession
Every state has laws that determine what happens to property when someone dies without a valid will and the property was not handed down in some other way (such as in a living trust). Typically, only spouses, registered domestic partners, and blood relatives inherit under intestate succession laws. Unmarried partners, friends, and charities do not receive anything. If the deceased person was married, the surviving spouse usually gets the biggest share. If there are no children, the surviving spouse often receives everything. More distant relatives inherit only if there is no surviving spouse and if there are no children. In the rare event that no relatives can be found, the state takes the assets. States have rules that prevent certain people from inheriting if they mistreated the deceased person. For example, someone who criminally caused the death of the deceased person is almost never allowed to make money from the death. In many states, a parent who abandoned or refused to support a child, or committed certain crimes against a child, cannot inherit from that child.
Key Terms in Intestate Succession
To qualify as a surviving spouse, the survivor must have been legally married to the deceased person at the time of death. Usually, it's clear who is and isn't married. But not always.
- Legal separation or pending divorce. If the couple had separated before one spouse died, or if one person had begun divorce proceedings, a judge may have to rule on whether or not the surviving member of the couple is considered a surviving spouse.
- Common-law marriage. A few states allow common-law marriages (in which a man and a woman who never went through a marriage ceremony can be considered legally married under certain circumstances). Generally, to create a common-law marriage, the couple must live together, intend to be married, and present themselves to the world as married. Check your state's law to see whether your state recognizes common-law marriage and, if so, under what circumstances.
- Same-sex marriage. There is considerable variability over whether courts will recognize a same-sex partner as a surviving spouse. Couples who marry and live in a state that allows same-sex marriage should not have a problem. But if one spouse dies in a state that doesn't recognize same-sex marriage, the courts will have to decide the issue.
Children and Issue
Intestate succession laws refer to groups of people such as “children” and “issue.” While the term “children” is usually well understood, state laws will vary on the precise definition for inheritance purposes. Some state laws use the term “issue” to refer to a person who inherits in the absence of a will, meaning direct descendants of the deceased person (children, grandchildren, and subsequent generations).
- Adopted children: In all states, in the absence of a will or other estate plan, legally adopted children inherit from their adoptive parents as if they were biological children.
- Stepchildren: Most states do not include stepchildren (children of the spouse of a deceased person who were never legally adopted by the deceased person) in their definition of children for purposes of inheritance. In a few states, however, there are exceptions depending on the circumstances.
- Foster children: Foster children are not recognized as “children” for purposes of inheritance.
- Children adopted by an unrelated adult or family: In most states, placing a child for adoption severs the legal tie between the child and the birth parents. The child can no longer inherit from the birth parents under intestate succession laws, and the parents can no longer inherit from the child.
- Children adopted by a stepparent: A child who is adopted by a stepparent might still inherit from the biological parents, depending on the state.
- Children born after the parent’s death: A child conceived before a parent’s death but born after the death (sometimes referred to as a “posthumous” child) inherits under intestate succession laws the same as children born when the parent was alive.
- Children born outside marriage: A child born to unmarried parents always inherits from his or her birth mother unless the child is adopted by another family. If the parents were never married, usually the child must show some kind of proof to inherit from the father (such as a DNA test).
Brothers and Sisters
If an intestate succession law includes the deceased person’s “sisters and brothers” or “siblings” as heirs, this group generally includes half-siblings and may even include half-siblings who were adopted out of the family.
Typical Probate Steps without a Will (intestacy):
- Step 1: Review the deceased person’s assets. Establish a value to the estate and produce an itemized list of all property needing distribution.
- Step 2: Determine where to file for the probate proceeding.
- Step 3: Bring a certified copy of the death certificate to the courthouse.
- Step 4: Complete and file the form requesting administration. You should be prepared to provide the names and address’ of all living relatives.
- Step 5: You’re required to let everyone know you’re petitioning for probate.
- Step 6: Your petition is granted unless another more suitable representative comes forward.
The Probate with a Will
The first step in this process is to locate the Will. Before submitting the Will to the probate court, there is some work to do:
The first thing to do is to look over the Will and determine who the beneficiaries are, what assets the deceased owned (and the value of those assets), and what debts the deceased owe.
Second, a bank account in the name of the estate must be opened to handle any money that continues to come into the estate (income, earnings, or savings) or to pay any bill dues that the estate will be paying.
Beneficiaries named in the Will must be determined by putting together a list of all the people named as beneficiaries. This list should be as complete as possible and include the following information about each beneficiary:
- Phone number
- Email address
- Date of birth
- Social Security Number
If someone named as a beneficiary is dead, a certified copy of that person’s death certificate should be submitted to the probate court.
An Inventory of the Estate must be taken by putting together a list of everything that the person owned. This list should include things like:
Financial assets, such as:
- Checking and savings accounts
- Stocks or brokerage accounts
- Savings bonds
- Life Insurance policies
- Retirement plans, including 401(k)s, IRAs, or 403(b)s
- Benefits, including social security and veterans' benefits
Real property, such as:
- Real estate
- Cars and boats
- Jewelry, art, and other collectibles or valuables
For each piece of property that the deceased owned, the following information must be included:
- How is the property titled (who legally owns the property)?
- What percentage of the property did the person own? Did the person who died own all of it, or was it jointly owned with someone else? If the person who died owned a percentage of the property, what is the percentage?
- What is the fair market value of the property (what would someone pay to purchase the property)? For some property you can determine this value yourself, and for some you might want to have a professional assess the value.
- Does the property already have a beneficiary?
A list of Debts must be made. This list should include all the people, organizations, or companies that the person who died owed money to, such as:
- Credit cards
- Medical bills
- Student loans
- Car loans
- Child support
- Payday loans
This information will all be necessary in order to probate the will. Once gathered the personal representative or an attorney can submit it to probate.
Though there are some things that cannot be finalized until Probate is complete (such as paying final bills and taxes, and transferring or distributing remaining assets to beneficiaries), there are some bills must be paid before probate is complete.
Submitting the Will to Probate Court
Step 1: Petition the Court.
In order to start a probate, the personal representative or the lawyer will need to submit a petition for probate Petition, a copy of the death certificate and a valid will. To appoint executor/administrator is not necessary to know specifically what the deceased owned. In order for the court to accept the petition and grant the official appointment, the court requires that all interested parties (heirs, family etc.) consent to the petition and the will.
Step 2: Notifying Heirs, Creditors, and Interested Parties.
The next step in probating a will is to notify all the parties of what is happening.
Step 3: Changing Legal Name of Assets.
After the appointment and the notifications, the name of all the assets must be changed from the deceased to the "estate of."
Step 4: Paying Creditors, Taxes, Expenses and Heirs.
An inventory of all of the assets that are in the estate should be filed. At this point, it is very important that no funds be paid to heirs until you have paid all estate expenses or know for sure that the estate has sufficient funds to pay all expenses. The priority in payments is as follows:
- Funeral Expenses
- Taxes (Federal, State, Local)
- Estate expenses
In some states, the court overseas and approves the distribution of estate assets closely. In other states, or depending on the situation, the state entrusts the parties to follow the correct procedures with minimal oversight. In cases where inappropriate conduct is suspected, it may be necessary for an heir to retain their own lawyer to represent their interests and petition the court to oversee the process.
Step 5: Reporting to the Court and Closing the Estate.
The last step in probating a will/estate is to inform the court what you have done and petition the court to close the estate. This step involves providing a final accounting.
Keys terms in an Estate with a Will
Beneficiary: Someone named in a legal document to inherit money or other property. Wills, trusts, and insurance policies commonly name beneficiaries; beneficiaries can also be named for “payable-on-death” accounts.
Bequeath: To leave property at one’s death; another word for “give.”
Bequest: A gift of an item of personal property (that’s anything but real estate) made at death.
Bond: A kind of insurance policy that protects inheritors against loss that the personal representative of an estate (the administrator or executor) might cause.
Custodian: The person named to manage property inherited by a minor, under a law called the Uniform Transfers to Minors Act, which has been adopted in almost every state.
Devise: A gift of real estate left at death. Also a verb meaning to give at death.
Devisee: Someone who inherits real estate through a will.
Executor: The person named in a will, and appointed by the probate court after the will-maker’s death, to wind up the affairs of a deceased person. In some states, executors are called “personal representatives.” (More about executors.)
Executrix: An old-fashioned term for a female executor. Most wills these days use “executor,” whether the person is a man or woman.
Gift and estate tax: A tax imposed on very large transfers of property (during life or at death) by the federal government. (More about federal estate tax.) Some states have their own estate taxes as well. (More about state estate tax.)
Grantor: Someone who creates a trust; a settlor.
Failed or lapsed gift: A gift made in a will that cannot be given to the intended recipient because that person has not survived the will-maker and the will does not state what should happen to the gift.
Heir: Someone who inherits property under state law if there’s no valid will.
Inheritance tax: A state tax imposed on people who inherit property. Only a few states impose inheritance tax, and most exempt close family members from the tax. There is no federal inheritance tax. (More about inheritance tax.)
Intangible property: Assets that can’t be touched, such as an ownership interest in a corporation. Documents—stock certificates, for example, are evidence of who owns intangible property.
Issue: Direct descendants, including children, grandchildren, and so on. A spouse, brothers, sisters, parents, and other relatives are not issue.
Legacy: A gift of personal property left at death.
Legatee: Someone who inherits personal property.
Personal property: All kinds of assets except real property.
Personal representative: Another name for the executor or administrator of an estate. Some states use this term (often abbreviated “PR”) instead of executor; some states use either.
Per capita: A way of dividing property among the descendants of a deceased heir beneficiary.
Per stirpes: A Latin term that means “right of representation.”
Real property: Real estate—that is, land and things permanently attached to it, such as houses.
Residue or residuary estate: All property subject to a will that isn’t given away specifically in the will. Often, a will leaves certain valuable items to named beneficiaries and then “the rest and residue of my estate” to another beneficiary.
Revocable trust: A trust that the settlor can revoke at any time during his or her lifetime.
Right of representation: A way of dividing property among the descendants of a deceased heir or beneficiary. The general idea is that the children of a deceased beneficiary inherit that person’s share—for example, if a father leaves property to his daughter, and at his death the daughter has already died, leaving two grandchildren, the grandchildren would take their mother’s share.
Seized of: An old-fashioned way of saying “having possession of.” For example, a will might state “I leave to my wife all property I am seized of at my death.”
Settlor: Someone who creates a trust.
Successor trustee: Someone who takes over as trustee of a trust if the original trustee can no longer serve.
Tangible property: Items that can be touched. (Compare “intangible property.”)
Testamentary: Having to do with a will. For example, a trust that is set up in a will is called a testamentary trust.
Testator: Someone who writes and executes (signs) a will.
Testatrix: The old-fashioned term for a female will-writer.
Trustee: Someone who has legal authority over the assets in a trust.