OldAssociates

OldAssociates advocates to keep seniors independent as long as possible

 

Through its Long Term Services and Supports area, dadadadi keeps older Indians in their own home. One of those programs, the Aging in Place Reverse Mortgage Counseling, OldAssociates counsels seniors on reverse mortgages, see news item below. Download the Use Your Home to Stay at Home reverse mortgage booklet here.

 

 

National surveys have indicated that nearly 5 per cent of the senior citizens in the country have no one to look after them as they either do not have children or are neglected by them. Only 32 per cent of the senior citizens get pensions, while 38 per cent of this age group do not stay with their children.

 

Loans have brought a sense of social security to the senior citizens who do not have any other source of income during their twilight years. Per S Sridhar, chairman of the National Housing Bank, which lanuched the scheme in the country two years ago, After Delhi and Hyderabad, Chandigarh is the third city of the country to get a counselling centre for the loan.

 

As per the new scheme, senior citizens above the age of 60 years, who have their own self-occupied property, can avail of periodical payments from a lender (bank) against the mortgage of their house while continuing as owner of the house.

 

Since the borrowers are not required to service the loan during their lifetime, they do not make monthly repayments of the principal and interest to the lender.

 

The scheme, however, is in its nascent stage. N C Jain, Field General manager of the Punjab National Bank, Chandigarh revealed that so far only 19 persons have come forward from the region to avail the loans.

 

“While in India we have disbursed loans under the scheme to 113 persons (amounting to Rs 46.46 crore) , in Punjab and Haryana region, there have been only 19 senior citizens (amounting to Rs 7.5 crore only) who have come forward to avail loans under the reverse mortgage,” said Jain.

 

National surveys have indicated that nearly 5 per cent of the senior citizens in the country have no one to look after them as they either do not have children or are neglected by them. Only 32 per cent of the senior citizens get pensions, while 38 per cent of this age group do not stay with their children.

 

 

How to make a Will

 

As one becomes older there is a need to facilitate the easy disbursement of one's posessions and properties to one's loved ones and dependants, so that there will be no legal battles among them. For this reason it is advisable that everyone with some property or wealth should prepare a "WILL".

 

A "WILL" can be defined as "A legal statement written by an individual, stating the manner in which his or her wealth may be distributed after his or her demise." A person making a Will is known as a "TESTATOR".

 

Here are some guidelines to prepare a WILL.

 

It is best that one consults an advocate before preparing a Will. It would be better if the advocate is a person on whom you have the utmost confidence. It is better to make a Will at a younger age. As and when events or changes in the family necessitate changes the Will can be changed. One of the advantages of making a Will at an earlier age is that unscrupulous relatives could contest the legality of the Will made by a very old person on the basis that the person was not of sound mind when the Will was made. A Will must always be dated. If more than one Will is made then the one having the latest date will nullify all other Wills. In fact it would be better to make a statement nullifying all other Wills. A Will should be Simple, Precise and Clear. Otherwise there may be problems for the legal heirs. Sometimes relatives and others may try to distort the interpretation of the Will for their own benefit. It is always better to take the advise of a trusted advocate. A Will can be hand-written or typed out. No stamp paper is necessary. There should be an Executor of the Will who would be entrusted with the responsibility of ensuring that the assets are distributed according to the provisions of the Will. Sometimes more than one Executor may be required to execute the Will. The Testator (person making the Will) should take the prior consent of the person whom he or she wishes to name as the Executor. A Will should be signed by the Testator in the presence of atleast two Witnesses who have to attest the same. The full names and addresss of the Witnesses should be clearly indicated in the Will. It would be better if one of the Witnesses is a medical practitioner, but this is not essential. The practitioner should certify that the Testator is of sound mind (especially if the Testator is of an advanced age) and he or she should also note his or her registration number and degree (educational qualification). A Witness should not be a beneficiary of the Will. A Witness should also not be an Executor of the Will. Each page of the Will should be serially numbered and signed by the Testator and the Witnesses. This is to prevent substitution, replacement or insertion of a page or pages by persons with fraudulent intentions. At the end of the Will the Testator can indicate the total number of pages in the Will. Corrections if any should be countersigned.

 

The Will may be kept in a safe place like a bank vault. The Executor and the beneficiaries should be informed where the Will is kept. It is advisable to keep a signed copy of the Will with a trusted advocate. Duplicate copies of the Will may be made, signed by the Testator and the Witnesses and kept at separate places so that if one is misplaced the other may be used. Sometimes the value of certain items of the assets (example: value of share certificates) may fluctuate. In such a situation, it is better to mention the percentage of such item/s which should go to each beneficiary. Whenever changes in the family circumstances or other reasons necessitate any change in the Will in the intervening period (from the time of making the Will to the time of demise of the Testator), the structure of the Will can be amended. Even if there are changes in the nature of the property or assets, an amendment may be needed. For making changes only in certain clauses of the Will, a Codicil (supplement) is to be prepared which should be read in conjunction with the Will and which has the power to make appopriate changes in the relevant clauses of the Will. If there are too many changes in the Will, it is better to prepare an entirely new Will. It is not compulsory for one to register a Will with the Registering Authority, but in case any property or asset is given to any charitable organisation, then registration should be done. A person's Will becomes operative only after his or her demise.There is no restriction in the way a person can deal with his or her property even after writing the Will.

 

(The details provided above are only guidelines. You are well advised to seek legal advice before executing a Will) The exact structure of a Will cannot be given. For a "MODEL WILL" based on which the actual Will may be prepared please CLICK HERE

 

1) I hereby appoint the following two persons ______________________ (Name and Address) First Executor _______________________ _______________________ _______________________ (Name and Address) Second Executor _______________________ _______________________ To be Executors / Executrixes of this Will. The First Executor (Name) shall administer the disbursement of my properties and if he or she is unable to take up this responsibility, the Second Executor (Name) shall administer the disbursement. The Executor so appointed shall act as guardian of any minor person who may benefit from my Will.

 

2) I have been enjoying full ownership and control over the following properties.

2.1) Immovable Property (Give full details, address, names and percentage of share of other co-holders if any)

2.2) Movable Property Cash Bank Accounts (Saving, Current, Fixed etc.) Insurance Jewellery Shares

 

3) I declare that all my belongings shall be distributed amongst the persons mentioned by me as follows:- S.No. Property Name & Address Relationship to me

1.

2.

3.

4.

 

4) The following are my special instruction before commencing disposal of my properties.

4.1) (Example): I have allocated Rupees one lakh to my daughter (Name) aged _____ who is a widow and having a daughter (Name) aged _____. I request the Executor of my Will to guide her in investing this amount in a safe and prudent manner so that she will be able to maintain herself out of the returns of this investment. On the demise of my daughter the returns from this money is to be tranferred to her daughter who, if she is a minor at the time of demise of my daughter, will be under the custody of the Executor.

 

5) (Example) I have kept aside Cash value of Rupees one lakh for expenses that may be incurred on my illness if any, or to meet expenses for my funeral and related ceremonies. Any legal expenses, unpaid taxes etc, shall be met out of this money. The balance from this money after all payments, and any other residue of my property, I bequeath to my wife.

 

6) I, Declare that this Will comprises of _____ pages. This will has been prepared in the presence of the following two persons as witnesses __________________________ (Name & Address) __________________________ __________________________ __________________________ (Name & Address) __________________________ __________________________ Other than ensuring good health what are the things that elders must ensure while planning for the future?

The three most important things that one must remember while planning for the future are:

1) to invest one's money safely,

2)insure oneself for medical benefits and

3)Write a Will.