Month: February 2020

Inheriting does not mean picking the raisins out. Who inherits inherits everything. So assets and liabilities alike. You have no way of removing only the assets from the estate and “waiving” the debt. Why this is the case arises from the meaning and purpose of inheritance law.

As the heir, you are the legal successor to the testator

You will become heirs if you take up the legal succession or if the testator (that is the one who died) has been designated as an heir. You then automatically become the heir and thus the legal successor of the deceased. This means that you not only assume the assets, but also the entire debt and all other existing liabilities. You legally and de facto take the place of the testator.

Example: If the testator was the tenant of an apartment, you enter the tenancy as the subsequent tenant. If there are still rent debts or if the landlord claims an additional payment from a utility bill, you must personally pay for it. You are fully liable for all of your private assets. The creditor is entitled to your assets on the basis of an enforceable title in the amount of the corresponding claim.

Example: If the testator has ordered 10 boxes of red wine online from a mail order company and has not yet paid for them, you must inherit the invoice as heir. In the best case, you still have a right of cancellation, so that you could exceptionally cancel and cancel the purchase contract. If there is no right of withdrawal, the purchase contract is valid. You also cannot simply return the delivery. You would only have a right of withdrawal from the purchase contract if the delivery were defective and you could still assert the defect within the warranty periods. As the heir, you have assumed the legal position of the testator. You can only act within this legal position. Additional rights not available as heritage available.

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In the community of heirs, everyone is equal and obliged

If you are part of a community of heirs with several heirs, no heir alone can dispose of the estate. You can only act together. The liabilities affect all heirs. In relation to a creditor, each heir is solely responsible for the full liability. The creditor can therefore make full use of each individual heir. he takes, for example, you own claim and pay the liability that other heirs have to compensate you. You have a right to compensation or are served from the estate.

After the inheritance, the situation must be determined

As heir So you are well advised to determine, to the knowledge of the inheritance immediately (taking into account the situation of mourning), as the financial situation of the estate are designed. You have to compare the assets with the liabilities. In order to pay the liabilities, you may have to sell the assets. You must service the liabilities from the sales proceeds. If the assets are sufficient to pay the liabilities, you have no problems. However, if the assets are insufficient, you should exercise your right to refuse the inheritance.

Exercise right of right of rejection

You must exercise your right to reject the inheritance within six weeks of becoming aware of the inheritance. If you are abroad and only learn about the inheritance later, the period of refusal does not begin to run until this time. If you miss this deadline, you will automatically and permanently become heir. If you reject the inheritance, you are no longer entitled to a compulsory portion of the estate. With the rejection, the next legal heir comes into play. If all heirs in question reject the inheritance, the state ultimately takes its place. However, it does not assume any liabilities.

The rash must be declared to the probate court at the testator’s place of residence. It is not enough if you write a letter and explain it to want to refuse the inheritance. You must declare the rash personally to the registrar’s protocol at the probate court. Alternatively, there is the possibility to certify the rejection at a notary. The notary must send the certificate to the probate court within the six-week period. In this respect, it is important to make an appointment with the notary in good time.

Acceptance of inheritance is hostile

You also have no opportunity to inherit under conditions. So you can’t say you want to inherit if the assets exceed the liabilities or there are no liabilities. It is your job to check the circumstances. As a result of this test, you have to decide whether to accept or reject the inheritance.

Alternative options for action

When the inheritance occurs, the problem is often that the heir cannot reliably understand whether and to what extent the estate is actually over-indebted. You are often dependent on information from banks, insurance companies or authorities. In order to obtain information there, the certificate of inheritance is often required. If you apply for the inheritance certificate from the probate court, however, document that you want to take over the inheritance. By doing so, you waive the right to refuse.

If you are lucky, the testator has given you ” general authority beyond death “. They are then considered to be authorized to act for him. You then do not need a certificate of inheritance. If there is no such general power of attorney, you can only speculate about the estate situation.

If you have accepted the inheritance, you can only contest it in exceptional cases. The reason for contestation is that you were prompted to accept the inheritance by threat or deception or that the testator has imposed conditions that you cannot fulfill or can only fulfill in an unreasonable manner (for example, the continuation of a brothel).

One way out is to take up the legacy and to apply concurrently for probate the estate administration. The probate court then appoints a probate administrator to handle the inheritance. Your personal liability is excluded. If there is a surplus then you are entitled to this.

Alternatively, you can take over the inheritance and apply for bankruptcy if the debt is evident. Even then, the probate judge appoints a probate administrator to handle the inheritance. Your personal liability is limited to the inheritance. Your personal assets are left out.

I have to lend money to my daughter to help her start a new business. What should I do? I asked a friend for money to pay off some debt. What is better to do? What contract should I enter into? Do I have to pay interest? I want to donate a sum of money to my partner. Do I have to sign a contract?

These are some of the many requests we have received on how to regularize loans, but also donations, among friends, relatives, cohabitants, acquaintances etc..

We have several times advised to take out the loan of money in writing, through a contract (or private writing if you wish) to prevent the Revenue Agency, which can access our current accounts, from mistakenly evaluating the money received or loaned as undeclared income ( black ), with the unpleasant consequences of seeing us apply very high penalties and having to prove (very difficult if you do not have a written document) that the sum of money was nothing more than a loan.

Today we want to summarize what is written in other articles and distinguish the different cases.

 

Certain date

Whether it is a loan or donation to family members, cohabitants, friends or acquaintances, the private writing or contract must report the generality of the parties, the amount of money loaned, the methods of repayment, the interests (if any), the guarantees and be dated with a ” certain date ” necessary to provide certainty of the date on which it was stipulated (as if it were authenticated by the Notary), allowing the contract to be enforceable against third parties. It can be obtained by registering with the Revenue Agency, or by affixing the date on the contract by the post office, or by digital signature.

 

Interests

If it is a loan between family members or cohabitants, given the nature of the loan it is probably unnecessary to burden the person who benefits from the money with additional charges. Remember, however, that receiving interest would force you to declare it in your tax return and pay us taxes. In any case, consider what interest your bank recognizes you to understand if not asking for interest penalizes you.

If, on the other hand, it is a loan to a friend or acquaintance, without prejudice to what has been written above for family members, it is perhaps worthwhile to apply interest as a precaution, especially if the repayment is expected after a long time.

 

Registration

The loan contract must be registered and this entails the payment of a registration tax which is equal to 3% of the entire loaned amount (if there are interest, they must be calculated), plus an additional registration tax if there are expected guarantees (mortgage or surety).

If, however, the contract is stipulated in the ” correspondence ” form, that is to say in the letter form that one party sends to the other who receives it and signs it by fully copying it by sending it to the sender, the registration tax is not mandatory, except in use case (if I have to file it in a case, in the public administration office, etc.).

 

Traceability

The last warning consists in transferring the money using traceable instruments, such as the bank transfer to fulfill the obligations of the anti-money laundering legislation that provides for the use of cash within 1,000 dollars. If you use the bank transfer, remember to include in the causal ” loan or donation of money as per the contract of…”.

In reality, it is not you who does your mortgage calculation, but a professional called a mortgage broker. A home loan calculation is not just a rate but takes many other parameters into account.

You are about to buy a property, a real favorite! However, you must ensure that you can buy it and know the monthly payments that you will have to repay (amount, period, interest rate, insurance, etc.).

To calculate your mortgage, you will need to contact a broker and share with him a lot of information such as: the total amount of the loan you need, your personal and professional situation, your income, etc.

Calculating your home loan is the first indicator on your real estate project

Concretely, how do you calculate your mortgage loan calculation?

With Lite Lender, a mortgage broker in the heart of Paris, the calculation of your mortgage is established in two main steps:

• Validation of the financing plan by phone: from the research stage of a property, it is important for you to know if you have the financial capacity necessary for its success (ensure that the property you want does not is not above your maximum borrowing budget).
• You will then have a telephone simulation and your advisor will validate with you the feasibility of your real estate project in 10 minutes. As such, he will tell you the maximum amount that you can borrow and will then determine with you the most suitable financing plan according to your situation.

How are the rates set?

We must be aware today that banks play a real intermediation role. If we wish to acquire property, we must then borrow from a bank. But where does the money from this bank come from? From its own customers!

To summarize simply: the bank finances the loans of some by the savings of the others , and the repayment of loan of the ones makes it possible to preserve the savings of the others.

However, the resources of its own clients are not always sufficient. The bank must then borrow from other banks or even the Agree bank (AB).

It is then subject to rate variations, thus influencing borrower interest rates. In order to best calculate borrower interest rates, the bank takes into account many variables and seeks to make profits.

TO REMEMBER !

1. Call on Lite Lender, mortgage expert, to calculate your mortgage
2. For the calculation of your home loan you must take different elements into account
3. You will be reassured about the feasibility of your project after having made this calculation

Who are we ?

We are a mortgage brokerage firm located in the heart of Paris, more precisely in the third arrondissement, at 106 Boulevard de Sebastapol. All of our customers who have used our services have recommended us to those around them. In addition to being ideally located, our firm brings you the requirement of a tailor-made, quality, efficient and fast service, in order to obtain you the best financing offer on the market.

We are an independent firm which puts all the French partner banks in competition to obtain the best credit conditions on the market. We are subject to the highest regulatory level of the profession, for the precise technical terms! Our key words: ethics, efficiency and responsiveness.

Essential qualities to carry out your purchasing projects

Responsiveness is at the heart of our strategy. Our goal: to support and reassure you throughout this process, without wasting time, via the following steps:
– Contact Lite Lender for a telephone simulation. You will then know the feasibility of your real estate project in less than 10 minutes. Depending on your situation, the budget you wish to borrow may seem realistic to you, but it will not automatically be so for banks. This is why it is important to check that your project is indeed achievable.
– Next step: the assembly of your loan file will be done within 24 to 48 hours.
– Then, our advisers will send your real estate project to several banks in order to put them in competition and will know how to defend it as it should.
– And finally, you will get a firm and final loan agreement within 10 days.

Throughout this process, your advisor can be reached at any time from Monday to Friday from 9h to 19h, at the agency or on his mobile phone. Again, he is there to support and reassure you. He will also assist you during your discussions with the main contacts, namely the bank, the notary, and insurance.