QUESTION

Can we transfer the title of our mother’s vehicle to my sister’s name without going through a probate?

Asked on Mar 25th, 2014 on Estate Planning - North Carolina
More details to this question:
My mother recently passed away without a will. The only asset she has is an old van which my sister needs. The van is paid for and worth maybe $2000 or less. I don't want to go through probate for just one asset. Can the title of the van be transferred to my sister (via DMV) and what if any concern should I have from any creditors submitting to the estate if the van is transferred without going through probate. I'm holding off applying for the Letters of Administration if I can just get the title transferred. I live in the state of Georgia, heirs are only myself, brother, sister, niece and nephew from my deceased sister. We are all in agreement to give my sister the van. Can it be done without probate?
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1 ANSWER

Not generally. Cars can be transferred to the surviving spouse as part of the spousal allowance, but there is no spouse here. There is also more than one heir. Claims of creditors also are a concern here. There is a big problem if your mother had debts.Creditors must be paid before the heirs get anything and the only way to ensure that the creditors' issues are resolved are to go through probate or else you will be exposing yourself to a lawsuit. Where you live is not relevant. You do not indicate where your mother lived at the time of her death. It matters because each state has its owns mechanisms for probate. Most states have simplified estate procedures for very small estates (under $10,000). All of the the other heirs cannot just agree. They can renounce any interest they would have in the probate property but that would leave open that their interest would pass to their children, not your sister. They also could wait till probate was through and make a gift to your sister. The proper thing here would be to probate the estate and have your sister pay the estate for the van. You want to probate the estate because you will send notice (both personal and notice published in the newspapers). If proper notice is given, it would cut off any rights of creditors if they do not timely file a claim. The money would then be available to pay probate and funeral costs and if there is anything left (which is doubtful) the personal representative simply denies any claims that are filed because there are no assets left. I find it somewhat hard to believe that the only thing your mother had was a car. Where did she live? Did she rent? Own any land or have an interest in land? What about a bank account? Was it a joint account? What about personal property? Clothes, furniture, appliances or jewelry? Those are all probate assets even if not worth a whole lot. What about non-probate assets? Life insurance? Retirement? I suggest that you consult with a probate attorney who practices in the county/state where your mother lived at the time of her death and pay the lawyer to review everything here. You do not need to hire a lawyer for the probate but consulting with a lawyer for an hour will help you understand the process and what has to be done. Failing that, I would talk to the clerk of the probate court for the county where the estate will be probated. Most clerks are helpful and have the necessary forms and will be able to tell you if the small estate process is available to you. Further, fees are not all that much for probate. Fears of probate have been over-hyped by trust mills seeking to profit off the fear. Probate is not all that bad in NC and GA.
Answered on Mar 27th, 2014 at 10:19 AM

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