Marc Harris, CEO of ProbateCash, explains the process, addresses common misconceptions, and highlights key factors you should evaluate when receiving an advance on your client’s inheritance. Some of the key takeaways from this webinar include:

Key Takeaways

• Liquidity Without Debt: Unlike a loan, an inheritance advance is a non-recourse purchase of a portion of an inheritance. There are no credit checks, no interest rates, and no monthly payments.
• Risk Mitigation for Heirs: Because the advance is non-recourse, Probate Cash takes the risk. If a creditor claim or a will challenge wipes out the inheritance, the heir keeps the advance and owes nothing back.
• The “Transparency First” Approach: All assignments are filed with the probate court to ensure the judge, the personal representative, and the estate attorney have full visibility.
• Funding Property Value: Advances can be used by heirs or the estate to pay for property repairs, potentially increasing the home’s fair market value by six figures.

Full Transcript

Molly Driscoll: Welcome and thank you for joining today’s webinar, “The Pros and Cons of an Advance on Inheritance,” brought to you by Probate Cash. I’m your host, Molly Driscoll. Our presenter today is Marc Harris, an attorney admitted to the Florida Bar and a member of the Florida Bar’s Real Property, Probate, and Trust Law Section. Marc has over 25 years of experience in specialty finance and has overseen the purchase of over $100 million in assets. Marc, can you start us off with what Probate Cash does?

Marc Harris: Thank you, Molly. Probate Cash provides advances to beneficiaries of estates who are waiting for their inheritance while it’s tied up in probate. I’ve spent my career providing liquidity to people entitled to future cash flows but who cannot access them today.

Most people unfamiliar with probate believe what they see on TV: someone passes away, there is a reading of the will, and you leave with cash or car keys. In reality, you find out from a banker or realtor that you can’t touch the decedent’s accounts or sell their property without a court process that can take a year or more. We fill that void by providing an upfront, non-recourse advance against a portion of that inheritance.

Molly Driscoll: How does an advance from Probate Cash actually work?

Marc Harris: We talk directly to the beneficiary and the estate attorney. Our underwriters review public records, and the beneficiary completes a simple application. We can typically fund the advance in one to two business days.

Our goal is to provide liquidity while keeping the beneficiary engaged in closing the case. We don’t purchase the entire inheritance. Depending on the stage—for example, if the claims period is still open—we may only provide a modest advance. As the case reaches the distribution stage and risk decreases, we can provide a larger amount.

Molly Driscoll: You mentioned funding in 24 to 48 hours. How can Probate Cash move so quickly?

Marc Harris: It’s because we are not a lender. We don’t charge interest, we don’t do credit checks, and we don’t take collateral. There is no long bank application. If the inheritance ends up being insufficient to repay us because of a will challenge or a creditor, we take that risk. The only time we have recourse is in the event of material fraud—for instance, if a beneficiary receives the inheritance and simply refuses to pay us.

Molly Driscoll: What are the pros and cons of an inheritance advance?

Marc Harris: The pros are straightforward: immediate liquidity for bills or necessities and reduced pressure on the personal representative and the law firm. It also protects the heir if a surprise claim wipes out the estate later; since it’s non-recourse, the heir keeps the money they already received.

The cons are that these advances are expensive. Fees start at 25% of the advance amount and can increase depending on how long the case stays open. This isn’t for everyone. If a beneficiary has the time for a traditional bank loan or can borrow from family, they should do that. We are here for those who need funds immediately and want to transfer the risk of the probate outcome to us.

Molly Driscoll: How does an advance to one beneficiary affect the others or the probate case?

Marc Harris: It doesn’t. We are in “contract privity” only with the beneficiary we fund. If they breach the contract or their share is short, we do not look to the other beneficiaries. It doesn’t slow down the case. However, we do file the assignment in the probate court. Transparency is vital—we want the judge and the lawyers to see exactly what is happening so there are no surprises at the end of the case.

Molly Driscoll: Can multiple beneficiaries get an advance?

Marc Harris: Absolutely. It is common for one beneficiary to get funded, and then their siblings or co-heirs see the benefit and call us as well.

Molly Driscoll: How can Probate Cash help law firms?

Marc Harris: We help firms turn “no” into “yes.” Many potential clients have a house to sell but no money for a retainer or filing fees. We can make an advance to the beneficiary, who then authorizes us to pay the law firm directly. This gets the case opened and ensures the attorney is paid upfront.

Additionally, we help stop the “angry phone calls” from heirs. We update the beneficiaries on the case’s progress, helping them manage expectations through the claims period and the property sale process.

Molly Driscoll: Are there laws that govern these advances?

Marc Harris: California has a specific statute, California Probate Code 11604.5, which governs the assignment of an inheritance. It includes strong consumer protections and requires assignments to be filed with the court. We follow the spirit of that statute in almost every state we operate in to ensure our process is clean, transparent, and fair to all parties.

Molly Driscoll: We have a few questions from the chat. Marc, as the attorney, how do I help my client qualify?

Marc Harris: Just provide us with the probate information. If you know how the assets will be sold or if there are any known claims, that helps us get comfortable faster. If the goal is to fund your retainer, we just need to confirm there is real property to be sold. We look for “reasonable efforts”—we don’t want to get into evictions or litigation because a beneficiary isn’t cooperating with the process.

Molly Driscoll: Can an attorney be held responsible if you don’t get repaid?

Marc Harris: No. Unless there is actual fraud involved, the attorney is not responsible. We are in a contract with the beneficiary, not the firm. We don’t rely on the lawyer’s representations for our underwriting.

Molly Driscoll: Can you get an advance before the probate case is open?

Marc Harris: We only provide advances after a person has passed away. We can provide an advance specifically to pay the lawyer to open the case, but we don’t handicap when someone might pass away; that’s the insurance business, not ours.

Molly Driscoll: What are the fees exactly?

Marc Harris: Fees start at 25%. Because our contracts are written in plain language and we conduct a recorded “closing call” with every beneficiary, there is no room for misunderstanding. We make sure they know exactly what they are receiving and what will be paid back before a single dollar is sent.

Molly Driscoll: Thank you, Marc. If you have further questions, you can call Marc Harris at 561-476-0018 or email marc@probatecash.com.