Are Elderly Clients Being Ripped Off By The Legal Profession and The Banks?

It has been five years since the Guardian ran a piece entitled  -The £600m RIP-off - "Banks and solicitors are overcharging consumers small fortunes for sorting out wills and small estates." and the newspaper referred to Britain's first 'probate broker,' Adam Walker which led to him setting his firm Final Duties which is still going strong now.

As the Guardian observed, just because you are dead does not stop banks and lawyers making a fortune from you.

Then each year Britain's high street banks and solicitors were picking up £1.25bn in fees for sorting out wills. Between them, they have 88% of the market for dealing with that last testament. According to Walker, then it was a £600m a year rip-off, where banks and solicitors are charging large fortunes to sort out small estates.

Now, in the number of years which have elapsed since the Guardian article, are things any better? 

Despite the trend of the internet to offer increased transparency on pricing, in my experience 95% of solicitors on the internet do not offer an unequivocal and clear pricing structure.  Perhaps, the method of charging can be called evasive? 

Frankly while you have some entrants into the market who offer more clear pricing these tend to be from non solicitors.

In terms of value from solicitors which is still a trusted brand, typically the would be client is offered either an hourly rate or if it the fee is fixed(still against the trend) a value at 2% to 4% of the estate value.

Or you can go with the banks. Good luck if you are looking for value. Natwest will charge you a set up fee of £1,500 plus an additional fee charged at a rate of 2.5% on the gross value of the estate up to a maximum total charge of £15,000. The total fee is normally payable on issue of a Grant of Representation or Confirmation.

I really struggle to see how that fee can be justified but that is what you are getting charged in 2014.

You do get a more transparent line from the Co-operative probate service which is the de facto market leader  in legal probate.  They assert that probate fees made simple and say they "do not believe that we will be beaten on price for any comparable service. We will aim to match fixed fee quotations for comparable services provided to us in writing from a regulated solicitor practice or trust corporation. All fixed fee quotations are subject to a minimum fee."

Unlike my firm they do not offer the price before you pick up the phone (they effectively say they will match it presumably as this firm is regulated, by all means call them) 
  
If you want to see more detail on what is being offered by firm(1% of estate or minimum fee £1,500) , look here.

Justin Patten, Solicitor