After your loved one passes away, you may be expecting to receive an inheritance. However, you might not know exactly how the process works. If you are going through South Dakota probate for the first time, seeing how long the probate process takes could catch you off guard.
If you need your inheritance to pay off debts or make an investment, waiting several months for probate to end may not fit your needs. At Rockpoint Probate Funding, we offer a cash advance solution to work through this problem. You can receive a cash advance based on the value of the assets you expect to inherit, paying it back later once the estate settles and you receive your full inheritance.
To help you decide whether this option would fit your situation, learning more about the South Dakota probate laws is helpful. Let’s walk through the most important details below.
How South Dakota Probate Works
Probate in South Dakota is part of the legal process of verifying the decedent’s wishes. To protect against fraud, the courts ensure that any will is valid and that creditors can file claims against the estate. SD State Statute 29A-3 discusses the various laws and regulations regarding probate.
Even if your loved one has no assets that need to go through probate, the will must be subjected to this process, allowing anyone who disputes the will’s validity or contests the court’s findings regarding the will to lodge a formal protest.
Probate may be a legal necessity in South Dakota, but that doesn’t make waiting for your inheritance any easier. When you need quicker access to your inherited assets, Rockpoint Probate Funding offers a cash advance option that may work better for your needs.
How Long Probate in South Dakota Takes
According to SD State Statute 29A-3-801, creditors get at least four months from the date of notification of the death to file a claim against the estate. This means the minimum time a formal probate process takes is four months.
However, the reality is that most South Dakota probate cases take far longer. Even a case without disputes usually requires several months to complete all the steps. If people question the will’s validity or the estate has many assets, probate can take a year or more.
It’s important to note that South Dakota recognizes handwritten wills as long as the handwriting is that of the person who created the will (called the testator). SD State Statute 29A-2-502 specifies the law for recognizing the testator’s handwriting. If a handwritten will exists, this can further lengthen the probate process through challenges to its validity.
South Dakota Probate Steps
The steps required to complete probate in South Dakota include:
- Family members file a probate petition in the county court where their loved one lived.
- The court names a personal representative, also called an executor, to manage the process.
- The executor publishes notice of the decedent’s death in local newspapers for three weeks.
- Creditors can file claims against the estate for up to four months after receiving notification.
- The executor inventories and assigns a value to all assets in the estate.
- The executor pays valid creditor claims in the order specified in SD State Statute 29A-3-807 and pays any owed taxes.
- After paying debts, the executor distributes the remaining assets to the heirs.
Because taking these steps requires a lot of time, SD State Statute 29A-3-719 allows for executor compensation. The amount is a percentage of the estate’s value.
Using Intestate Succession To Distribute Assets
If your loved one dies without a will, the probate court takes over the distribution of the estate’s assets. It follows SD State Statute 29A-2 to determine which heirs receive what percentage of the estate.
The decedent’s closest surviving relatives receive the assets through this intestate succession process. Should other relatives dispute the use of intestate succession or discover a handwritten will, the probate process can become extremely lengthy.
Distributing Small Estates in South Dakota
South Dakota allows the use of a small estate affidavit where applicable.
- If an estate is less than $25,000, the heirs can receive the assets without probate. However, creditors still may file claims.
- If an estate is less than $50,000, surviving family members can request a simplified probate process. This shortens the timeline considerably compared to the formal process.
How To Avoid Probate in South Dakota
The only way for a larger estate to avoid probate is through estate planning steps taken before your loved one dies. Once the death occurs, family members cannot deploy these estate planning options to avoid South Dakota probate.
One common step to avoid probate is to set up a living trust. This entity holds the assets of the estate. A named trustee manages the assets in the living trust. Because these assets are not officially held in your loved one’s name at the time of death, they don’t go through probate.
The living trust document specifies when each heir will receive a portion of the assets after death. Using a living trust allows designated assets to pass quickly to the heirs.
Some estates may have certain assets in the living trust and others outside the trust. In such a case, the assets outside the trust would go to probate.
Look to Rockpoint Probate Funding for a Cash Advance When Your Inheritance Is in South Dakota Probate
When your inherited assets remain stuck in South Dakota probate, and no signs of completing the process appear on the horizon, you may be looking for help. At Rockpoint Probate Funding, we offer a cash advance based on your expected inheritance.
You are free to use this money for any purpose with no restrictions. We only use your expected inheritance, not your employment history or credit report, to determine how much you could receive.
If you want to learn more about the pros and cons of taking a cash advance on your inherited assets, call Rockpoint Probate Funding today at (888) 263-8588 to discuss your situation for free.
