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Is probate really necessary?

Sometimes it is possible to deal with estates without applying for probate.  Under the Administration Act 1969, where a person has passed away leaving less than $15,000 in each institution, then the family may not be required to obtain probate.  If the amount payable does not exceed $15,000 and the relevant institution is provided satisfactory evidence, it may not insist on probate and pay the funds to the person that appears to be entitled to it.  This includes:

• local authority/government stock
• shares
• bank accounts
• funds owed by way of employment
• funds owed by a society
• funds owed by Housing New Zealand, ACC, WINZ
• insurance policies

If the only asset is Maori land, then probate is not required unless the Will’s validity is being challenged. 

If there is less than $15,000 held with several different institutions but together adds up to more than $15,000, probate will still not be required. 

However, if there is interest in land then probate will always be required unless that land is jointly owned.  In that case, the land will automatically pass to the other joint owner of the land by survivorship.