Oct 14, 2024

The Illusion of Security: Why Online Wills Might Leave Your Legacy in Limbo

The allure of online Wills is understandable: convenience, affordability, and the promise of a legally binding document in just minutes. However, the ease offered by online Wills shouldn’t overshadow the need for most people to have a personalised plan.

Online platforms offer a “one-size-fits-all” approach that, if not suitable, can leave your loved ones facing a legal nightmare after you’re gone.

Online Wills platforms typically follow a simple process: a person fills out a questionnaire with their details, and the platform then generates a Will based on the data entered. Many platforms boast that the entire process takes only 10-20 minutes.

A central selling point is the claim that a lawyer reviews the final document. However, a closer look at the terms and conditions reveals that this review involves only a basic check to ensure the Will is complete and presumably includes essential elements such as an executor and a residuary clause.

It does not involve a review of your individual circumstances and any necessary legal advice.

The involvement of a lawyer in this limited capacity gives users a false sense of security, leading them to believe that their Will is tailored to their specific needs.

In reality, the platform’s lawyer only ensures the document is structurally complete without assessing whether the Will is suitable for the user’s situation or if potential issues need addressing.

I went through the process myself on several popular online sites.

One of these platforms offers a 20-minute phone consultation with a lawyer about their estate plan at an extra cost. However, in my experience of acting as a lawyer in this space for over 22 years, 20 minutes is insufficient for a lawyer to fully understand your situation and provide comprehensive advice to you.

When taking instructions from our estate planning clients, we set a minimum of one hour for an initial consultation with a lawyer. These appointments can easily extend for additional hours if the individual has complex matters to consider.

Not to discount them completely, using an online Wills platform can be appropriate in certain situations. For individuals with straightforward estates, it can be a viable option. For instance, an online Will may suffice if you have no children, own a house, a bank account, a car, and a few pets, and plan to leave everything to your spouse or a charity.

But what about if you have a blended family, children from previous relationships, or dependents with special needs?

What if your estate includes substantial assets or liabilities such as businesses, trusts, or self-managed super funds? Or perhaps you’re leaving an estranged child out of the Will.

The simple online Will questionnaires these platforms use may not capture all the necessary details from users who input their information.

Even in face-to-face consultations, clients may withhold information—intentionally or not. A lawyer’s role includes asking detailed questions to fully understand the client’s situation, which is essential in complex scenarios involving significant assets or specific family dynamics.

This thorough assessment helps lawyers craft a Will that reflects their client’s wishes and ultimately will protect them in the future.

Engaging an experienced estate planning lawyer involves more costs, yes. But it also offers invaluable benefits.

For example, a lawyer can advise on potential risks such as family provision claims, the importance of a binding death benefit nomination for superannuation accounts, and the implications of joint tenancy versus tenants in common for property ownership.

Online platforms often require users to navigate multiple clicks to access additional information about these issues. This information is typically provided through links to blogs rather than direct warnings or pop-ups that could flag when an estate might be too complex for the service.

The broad language used can leave users who don’t do their research unaware of important legal considerations relevant to their estate.

These platforms’ marketing tactics, including social media campaigns, daily email reminders, and discount offers, emphasize simplicity and speed. However, they do come with significant limitations that can leave users exposed.

They often avoid providing detailed legal advice, presenting broad tips instead. This approach can overlook crucial issues that an expert estate planning lawyer would address in a consultation.

When weighing whether to use an online Wills platform, know that while they can serve those with straightforward estates, the complexity of modern family structures and financial situations often necessitates more than a quick, automated solution.

Don’t be fooled by marketing gimmicks or false promises when it comes to your most important legal documents. I may well be ‘singing for my supper’ here, but the bottom line is the best way to protect your wishes and your assets is to see an experienced estate planning lawyer.

Written by Hayley Condon, Wills and Estates Special Counsel at Attwood Marshall Lawyers.

 

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  1. Yes but not everyone can afford the thousands of dollars charged for this service, which does not always guarantee the expected outcome, and for the many, this service is of value.

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