My sister and myself are executors for our mum who died last year.
So far we have managed to obtain probate, make gifts to the beneficiaries detailed in the will and have nearly completed dealing with her estate without the need to use solicitors.
The only thing that is outstanding is a loan that she made to a "friend" that was to be paid back on a monthly basis at a rate of £500.00 per month.
Since our mum died over a year ago no payments have been forthcoming despite giving the debtor new bank account details. We have tried to negotiate in letter and via telephone suggesting that if £500.00 per month is too much that we would accept realistic smaller payments.
There is no formal paperwork for the debt (yes we know!) What we have is a cheque stub written out saying loan and the person's name, regular direct debit payments into our mum's bank account with a reference that says persons name loan repayment and correspondence from the person agreeing that there was a loan but she won't pay any more back, rather she will make a donation to a charity of her choice as she feels this is what our mum would have wanted.
Mum told both my sister and myself about this debt and the terms of repayment well before her death, her death was sudden and unexpected.
The issue:- the original loan was for £20,000. Up until June last year 14 repayments have been made - leaving £13,000 outstanding - please ignore the issue of interest.
This is above the small claims court limit of £10,000.
Do we now need to involve a solicitor to issue county court proceedings or is this something we could do ourselves? We have managed to negotiate probate and HMRC and ideally don't want to pay for solicitors unless tis is necessary.
Any advice as to how progress this would be very gratefully received.
What we want is to finally be able to complete our mum's estate and get onto the next stage of the grieving process, this is just preventing us from doing so.
Thank you
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Debt owed to deceased's estate above small claims court limit - any advice?
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fingersandthumbs · 29/07/2014 13:14
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