How an inheritance advance works
An inheritance advance gives you a fraction of your expected inheritance now, and the provider is assigned your claim and receives the full agreed amount when probate concludes. There are no monthly payments. A 2024 Center for Public Integrity report says these companies call the deals cash advances rather than loans, which puts them outside the Truth in Lending Act and state usury caps, and that the contracts need not show an APR. A federal court in California found one probate advance was not a loan because the consumer did not have to repay it if the estate lacked the funds, so read whether your agreement is non-recourse.
Because the provider is repaid a fixed amount, the longer probate takes, the lower the annual rate, and the shorter it takes, the higher the rate. This calculator shows the cost in dollars, as a share of the cash and as an annualised rate for the months you enter.
Check published examples
The Center for Public Integrity gives the example of $5,000 up front in exchange for paying $10,000 back. This calculator shows a one-off fee of 100% of a $5,000 advance repaid at $10,000.00, a cost of $5,000.00. Trust & Will gives a $30,000 inheritance with a $25,000 advance, where the provider receives the full $30,000 when probate closes. With a 20% one-off fee, the cost is $5,000.00, which is 20.00% of the cash if the estate pays in 12 months.
The effective rate depends on how long probate lasts. The Center for Public Integrity cites academic research finding average effective rates of 50% in one county's probate transactions and 63% in a study of 143 transactions in an adjacent county, with some firms charging above 200%.
Time and compounding
Not every provider charges a one-off fee. Choose a yearly or monthly rate compounded monthly, or simple interest, if your quote works that way. A 32% yearly rate compounded monthly for 14 months with a 1.5% processing fee added to the amount owed on a $40,000 advance means you owe $58,686.54 and keep $41,313.46, and the annualised rate is 40.04%. If the estate took 6 months longer you would repay $68,725.08, and 12 months longer $80,480.75.
When the estate pays less than you owe
On a $40,000 advance against a $45,000 share at 40% a year with the fees added, a non-recourse provider takes only the $45,000 the estate pays, so the cost is $5,000.00 and you keep nothing. If you still owed the difference, the amount owed after 36 months would be $132,673.27 and you would owe $87,673.27 more than the estate pays. Choose the option that matches your agreement.
What this estimate leaves out
This is a planning estimate. It does not predict how long the estate will take, check your entitlement or model tiered fees that rise each period, taxes or other ways to raise money. State rules for these advances vary, so read the agreement and consider legal advice before you sign. The figures in the agreement are the ones that count.
To work out an APR from a payment and fees, use the annual percentage rate calculator.
To compare with the cost of an ordinary loan, use the loan cost calculator.
Use the right country page
This page stays in US dollars and uses US terms: inheritance advance, probate funding and the annualised rate as a simple rate. The country choices above the inputs open separate local pages. Choosing United Kingdom opens the inheritance loan calculator, which uses pounds, probate loans and an effective annual rate. The inputs reset and amounts are not converted.
Inputs for the inheritance advance calculator
How the provider charges
A one-off fee on the advance, a yearly or monthly rate compounded monthly, or simple interest.
Fees are
Whether fees are added to the amount owed or deducted from the cash you receive.
If the estate pays less than owed
Whether the provider takes only what the estate pays, or you still owe the difference.
Your expected share of the estate
The amount you expect to receive when the estate is paid out.
Advance you want
The amount the provider pays you. It cannot be more than your share.
Months until the estate pays
How long the advance is outstanding. A longer wait costs more.
Rate or fee
The fee or rate in your quote, read as chosen above.
Processing fee and closing costs
A processing fee as a percentage of the advance, plus fixed closing costs.
CALCULATOR QUESTIONS
US inheritance advance calculator questions
How do you calculate the cost of an inheritance advance?
Subtract the cash you receive from what the provider takes from the estate. $50,000.00 repaid on $39,250.00 received costs $10,750.00.
How much of my inheritance does the provider take?
In the worked example the provider takes $50,000.00, which is 50.00% of the $100,000 share, and you keep $50,000.00.
Why does the annual rate change with the time?
The amount repaid is fixed, so a shorter wait means a higher annual rate. A $10,750.00 cost on $39,250.00 is 27.39% over 12 months.
Is an inheritance advance a loan?
Providers usually call it a cash advance. A 2024 Center for Public Integrity report says that puts it outside the Truth in Lending Act and usury caps, so the contract may show no APR.
Do I owe anything if the estate pays less than expected?
It depends on the agreement. Choose whether the provider takes only what the estate pays or you still owe the difference. In the example you would owe $87,673.27 more.
What happens if I change country?
The United Kingdom option opens the separate inheritance loan calculator, in pounds, with probate loans and an effective annual rate. Your inputs are reset rather than converted.