Probate bonds of any category are made with the purpose to serve as a financial guarantee to the beneficiaries of the estate. The bond ensures that the executor does not leave the beneficiaries penniless by using unethical means. Probate bonds New York are lawful and its fees are paid either by the executor or the estate holder depending which state the bond is being signed.
The bond makes sure that the executors or the guardian work to the benefit of the estate. It is defined as the act of proving a person’s will. During the process of making a probate an appointed administrator is required to obtain a probate bond.
The bond that is associated with probate may also refer to the guardian of minors, guardians of incompetents or someone who is incapacitated and/ or the veteran’s administrators. The premium paid on a probate bond needs to be paid annually and is not to be considered a one time payment.
The premium is renewed annually on the same date when the bond papers were signed and 1st payment paid for as long as required. One can also prepay the bond for up to 3 years. The prepay option on the premium payment is also available. This offers the payer savings over year to year premium renewals.
A refund is not given in case the probate bond is cancelled or no longer required by the parties i.e. if the bond is to be exonerated before the term of the bond ends. It is a non refundable bond. Also the fees taken to build the bond is non refundable.