Mother's estate

When my mother died, her Premium Bonds were left for a year ( because you can still inherit any winnings for one year) after which they had to be sold and the money divided amongst her heirs. You can't actually pass the bonds on to anyone else. In our case, the solicitor dealt with it and the proceeds passed onto us.

Firstly type in your mother's number on the "Have I won" on the premium bond page. If she has won and the cheque (s) were sent to an address other than yours I would have thought that the solicitor would have to sort that out as he should anyway as it would appear to be his mistake.

You need to talk to the executor about what is happening first of all

"You need to talk to the executor about what is happening first of all"
Exactly. Unless you are the executor. As I was for my Mum's estate.

The Executor would be responsible for sorting this out. Sometimes the executor has passed the Will/Estate onto a solicitor to process.
It's a pity they hadn't come to light before it was signed off, but it will sort ok.

You can claim any prizes won within 12 months of the death of the holder, but not any outside that time limit. The bonds have to be cashed and the proceeds split amongst the heirs.

More broadly there can be assets in an estate that for all kinds of reasons cannot be distributed until long after probate is granted and the rest of the estate distributed.

A couple of years ago, I received money from the estate of an uncle who died over a decade ago. He had an investment in, I think, a private company that couldn't be turned into cash for about 20 years after he made the original investment, which was about 6 or 7 years before he died. It couldn't be given a monetary value either until it was returned, so about 3 years ago I received a cheque for about £140.

More broadly there can be assets in an estate that for all kinds of reasons cannot be distributed until long after probate is granted and the rest of the estate distributed.

A couple of years ago, I received money from the estate of an uncle who died over a decade ago. He had an investment in, I think, a private company that couldn't be turned into cash for about 20 years after he made the original investment, which was about 6 or 7 years before he died. It couldn't be given a monetary value either until it was returned, so about 3 years ago I received a cheque for about £140.

This needs to be put back to the executors to deal with. If there’s a considerable sum involved (I know someone who has just put £60,000 in Premium Bonds) then there is a good chance there are unclaimed prize money that you now cannot claim. In any case, you might want to take legal advice.

I thought 50 K was the limit per individual or has it gone up?

50K is the limit, it has not changed.

It's true, I think, that prizes can still be claimed up to a year after the death if the Bonds haven't been cashed in, but in most cases the executor will find it simpler to cash them in and distribute the value to the beneficiaries with the rest of the estate.
Certainly the value of the Bonds ought to have be claimed and distributed by now, along with any winnings that have been awarded since the death. Ask the executor to explain.

None of us like to think of the what if.
In making a will advice will be free, unlike a legal representative who charges the moment you open their door, from those you have investments with on how you can avoid hiccups and delays on distribution of wealth.
There will be some questions that cannot be answered but had I have known now what I did not discover until later concerning my mothers estate, I did not have power of attorney, that had I have gone to her bank, with simple questions about investments and death, could have saved me time and stress. and money.I believe the more you can do before is better than the after for those you leave behind

Is it possible that, depending on the total value of your late mum's estate, tax might be owed on the value of the premium bonds? If in doubt, it might be advisable to seek proper legal advice.

Premium bonds are tax free. As I said, a solicitor can deal with the selling of them.

The limit used to be £40,000 but has since been raised to £50,000.

Bellasnan I expect Mamacaz meant tax on the estate not the premium bonds.

Check with the executor as others have said. It could be the bonds have been overlooked. There is also the possibility that any prize money was set for re-investment or prize money could have been going direct into her bank account.

That's right, Molly10 I assume that premium bonds are taken into account just like any other savings or investments when calculating inheritance tax, though I could be wrong.

Thanks for the information that Premium Bonds can still win up to a year after someone's death, I didn't know that so I'll pass that knowledge onto my children. You never know, that elusive million might come up so it may be worthwhile for inheritors to not cash them in for 12 months. I have made a list anyway of my assets which will be spilt equally between two daughters so, hopefully, no unexpected problems will arise.

The bonds can be left, as others have said, for a year to have a chance of winning, then they have to be encashed and the money given to the relevant beneficiary, beneficiaries.

If you are the executrix - or if not you should remind who is - to send a completed repayment form to the national savings office, together with a copy of the grant of probate.
They will then repay the monies to the named executor who should distribute them.

If inheritance tax was involved, then this will need to be adjusted accordingly.

Should be repaid quite easily.