The residential home is not releasing the bond after the resident’s death
The children put Dad in a residential home (the Home).
Dad died and the Home was not returning the bond which the children paid for.
Before paying the bond the children informed the Home it was their money, they received a photocopy of the cheque showing just their names and had bank statements showing it came from their joint account.
The children requested a receipt in their names too.
The Home has advised the children they need a grant of probate before they will release the bond. The other children are saying this was a gift and not a loan.
What should have the children who paid the bond done differently?
- They should have sought legal advice before paying the bond
- They should have signed a loan agreement with their dad as the bond may be considered a gift unless the arrangement has been documented
- If there is no evidence in writing that the bond was a loan the money may form part of Dad’s estate.
Call 0421 145 637 and get a loan agreement in place if you are lending money to children or parents.