The right paper work helps your loved ones a long way in getting your money when you are no more to help them out. When they approach any financial association as Mutual Fund, Demat account, Bank, PPF to inherit they can be asked for documents like Succession Certificate or Letter of Administration or Probated copy of the Will to ascertain that the person is the legal heir. This may also happen when the person even has a valid will.

Succession Certificate:

When there is no will left behind and if also there is no survivor amongst the account holders and a no nomination had been done earlier a Succession Certificate is to be the main document by which the heirs can stake a claim to the assets of a deceased person.  A succession certificate is given to the successor/heir of a deceased person who has not prepared a will in order to establish the authenticity of the successor and also to give the certificate holder an authority over the deceased person’s movable assets such as bank account, shares, fixed deposits debts and securities etc. Succession certificate gives security to all persons who are liable on such securities or owing debts with regards to all payments made to or dealings in good faith with a person to whom a succession certificate granted.The beneficiary/heir has to approach the district or the high court within whose jurisdiction where the properties of deceased persons are situated and file a petition for a succession certificate. After examining the petition the court will issues a notice to concerned parties along with the public notice in newspapers and publicises a time frame of 45 days by which any one might be raised the objections along with the necessary documentation proof. After expiration of specific time period. If no objection is raised by anyone, then court issues a certificate in the favour of beneficiary. In the case of many beneficiaries a joint certificate is issued. Multiple certificates for property will not have legally binding. Once you have the certificate by the court you are authenticated to distribute the assets to the legal heirs as per the succession laws. A Succession Certificate is not granted in case where obtaining a Probate of Letter of Administration is necessary such as when there is a valid will.

Probate is a legal process by which the court validates a will as the last will of a deceased . A probate is a copy of the Will certified by competent Court to the executor of the testator. If there is no executor of the will, only a simple letter of administration is issued by the court, and not a probate. A grant of probate by an invalid character under the will cannot be made valid . Generally, probates not require to be obtained in all cases. As per the Indian Succession Act, 1925 there are certain cases when a probate is necessary when :

  • Where a will has been made by a Hindu, Sikh, Jain, and Buddhist in the areas of Bengal, Orissa, Bihar and Assam and within the local limits of the civil jurisdiction of the High Courts of Madras and Bombay then a probate is necessary.
  • Any debt due to the estate of a hindu that is to be recovered.
  • The cost of getting a probate includes legal fees as well as stamp duty as per the value of the property. The stamp duty for the probate varies from state to state.

Letter of Administration
Letter of Administration is issued by a competent authority or a court and appoints the Administrator officer to dispose of the property of a person. It is required when:

  • Where a testator has failed to appoint an executor under a Will or
  • When appointed executor refuses to act  or
  • Where executor has died before administration of the estate after or before proving the Will.

A Letter of Administration can be granted after 14 days from the date of death of an intestate.

Beneficiary has to apply to the court for obtaining a letter of administration. The court after receiving valid proof of valid execution of the will issues letter of administration to the beneficiary.

Following details has to contain for the application of letter of administration :

  1. The time of the testator’s death
  2. That the writing annexed in his last will and testament
  3. That it was duly executed
  4. The amount of assets which are likely to get to the petitioner’
  5. The petitioner is the executor named in the will.

A letter of Administration may be granted to one or more persons who may apply to the Court. If no other person has applied for it then it will be granted to a creditor of the deceased. The Letter of Administration cannot be granted to unsound mind or a minor.