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“Do cars go through probate?” is a question that many families ask following the deaths of loved ones. If your family is asking it right now, make sure you look up the probate laws for your specific state to find the answer. Louisiana probate law isn’t the same as, say, California probate law.
Probate is the process that families often must go through to distribute the assets of their loved ones in the aftermath of their deaths. Also known as estate administration, this process can present complications at times, especially when it comes to bigger-ticket items like automobiles.
Find out whether your loved one’s motor vehicles must go through probate below.
Do Cars Go Through Probate?
Unfortunately, there isn’t a quick and easy answer to the question, “Do cars go through probate?” The answer will change based on everything from where your family’s loved one lived at the time of their death to what the rest of their estate looks like.
If, for example, your loved one lived in Louisiana, your family may not have to go through the full probate process to transfer ownership of their motor vehicles to other family members. The estate executor for your loved one’s will can fill out a document called an affidavit of heirship and submit it to the Louisiana Office of Motor Vehicles.
This document serves as an affidavit for transfer without probate. In many cases, a vehicle title transfer in Louisiana can be completed without having to endure a lengthy probate process.
Other states take a decidedly different approach to transferring the ownership of motor vehicles to beneficiaries following the deaths of residents. In California, for instance, the answer to the question, “Do cars go through probate?” is “yes” — unless a deceased person designated Transfer on Death (TOD) beneficiaries on the titles for their vehicles.
Many states also honor motor vehicles titled with joint ownership with survivorship. In these cases, the surviving owner retains possession of the vehicle without going through probate.
How Can You Avoid Going Through Probate for Motor Vehicles?
If families have the foresight, they can make the answer to the question, “Do cars go through probate?” a simple “no” in some cases. They will, however, need to plan ahead to make it possible to skip the probate process for motor vehicles.
They can do this by:
- Asking a family member to designate their vehicle as having joint ownership with right of survivorship
- Having a family member add a transfer-on-death (TOD) designation to the title for a vehicle
- Advising a family member to transfer ownership of a vehicle to a living trust
Some families even go as far as to let an older family member know about the benefits of gifting a motor vehicle to a beneficiary while they’re still alive. This is an effective way for families to avoid the probate process when it comes to cars and certain types of other assets.
When Can Complications Arise With Motor Vehicles During Probate?
While the answer to the question, “Do cars go through probate?” will often be “no,” there are instances in which motor vehicles must go through probate. Some complications can arise with cars, trucks, SUVs, and other vehicles during probate.
Here are several complications that can make the probate process more difficult than usual when motor vehicles are involved:
- Disputes among family members may start regarding who should receive the motor vehicles left behind in a loved one’s will.
- The executor who receives letters of testamentary from a probate court to manage a loved one’s will might have to sell motor vehicles left behind to pay down debts.
- State probate laws might force families to go through probate for cars and further complicate their legal matters.
What If Automobiles Need To Go Through Probate?
If your family finds that motor vehicles left behind by a loved one will need to go through probate, it may prevent certain family members from acquiring the vehicles they were anticipating immediately. This could put them into a tough financial spot, especially if they planned to sell these cars and collect the proceeds from their sales to cover other costs.
Your family may wish to explore applying for probate funding in this case. It’s a type of non-recourse funding you can put to good use while awaiting the conclusion of a loved one’s probate process as it makes its way through the legal system.
Who Can Your Family Trust for Probate Funding?
Rockpoint Probate Funding is one of the nation’s leading providers of probate funding. We can extend probate cash advances to you and your fellow family members based on the circumstances surrounding your case.
You’ll only be responsible for providing us with a portion of the assets you receive from a loved one’s will at the end of the probate process if you’re awarded an inheritance. We make it very easy for families to apply for this funding as they’re going through the stressful probate process.
Reach Out to Rockpoint Probate Funding for Help During the Probate Process
As you’ve seen, answering “Do cars go through probate?” can be confusing. It depends on many factors, including your location, the size of a loved one’s assets, the designations on the titles for motor vehicles, and more.
Let Rockpoint Probate Funding simplify the probate process for you and your family with our inheritance advances. Call us at (888) 263-8588 for more information on applying for non-recourse probate funding today.
