Inheritance Tax (IHT) Loan

 

Are you an executor faced with an unexpected Inheritance Tax bill?

IHT Loan helps executors (or personal representatives if there’s no will) with estates where there is an Inheritance Tax (IHT) liability to pay but no funds available, and it is holding up the Probate process.

IHT Loan key benefits

  • No risk or personal liability
  • No credit checks
  • No charge over property
  • No requirement for a Will
  • No monthly repayments

The Facts

  • Average bill is around £200,000
  • Estimated that £2bn a year is tied up in ‘locked estates’
  • Around 25-30,000 Estates incur IHT in any year
  • IHT has to be paid before you can get a Grant of Probate

Contact us

How do I get an IHT loan?

Application
Short online form or speak to our team if you prefer

Request estate information from solicitors

Complete paperwork
We pay HMRC
Estate pays the refunding

We talked to people who told us why they liked IHT Loan…

“I wasn’t expecting a bill running into the tens of thousands when I agreed to be an executor for my friend’s will. Everything was delayed while I had to take out a personal loan in my own name. I wish this had been available then.”
“It’s really frustrating. The estate has lots of assets, including money in bank accounts, but I can’t get access to them to pay the IHT. This product will really help.”
“I’m the executor of the will but I’m not a beneficiary. The family are getting really frustrated about the amount of time it’s takingbecause of the funds needed to settle the tax bill before we can progress anything.”

Let’s talk it through…

Our professional customer service team are here to help you with any queries you may have. They can also take your application over the phone or you can apply online below.

Representative 19.6% APR

Representative example
If you took out an IHT loan of £50,000 (the total amount of credit) and the loan was repaid by a single payment out of the estate after 1 year, the total amount payable would be £59,781. This is made up of repayment of the loan and interest of £9,781. The annual interest rate is 19.6% fixed.
If there’s no will and no executor, the loan is also available to the person applying to be ‘personal representative’.

The IHT Loan product is a credit agreement which provides you with access to credit which must be used to pay the remaining IHT liability on the estate and is paid directly to HMRC. As the loan settles the remaining IHT liability, it will automatically be deemed a Testamentary Expense. The loan does not create a charge over any land or property. Access to the product does not rely on your personal credit rating and, other than in cases of fraud/breach of terms & conditions, repayment of the loan together with accrued interest, is made out of the estate proceeds. We assess the value of the estate to ensure that there will be sufficient proceeds to cover the loan plus accrued interest. Interest is only charged for the first 30 months of the loan. The estate must be administered by a recognised administrator.

The IHT Loan can also be used where a Trust Company is appointed as the professional executor/personal representative. In this instance the loan is not regulated by the CCA but all other terms are identical to the CCA-regulated IHT Loan.