Bank account closed down without knowledge

Runnerblade

Hello MSE Forum members
I had a bank account, held jointly, with my ex, and used solely to service our mortgage. As of this year, it was no longer needed and I've been meaning to close it down/remove my name, but was told (several times) by the bank that I would need to go into a branch with ID and sign to do this. My ex would need to do the same (at his end). Found out today it was closed down apparently by him (the bank couldn't actually see who had closed it down - told me I'd need to go into a branch to find this out). I am a little shocked that he could do this without my knowledge or consent. There was only a small amount in the account, which he pocketed and, to be honest, I am glad it's closed now (so we are no longer financially linked), but it seems strange that the bank allowed this, especially since the advice I'd been given was that both signatures would be needed. Does anybody know if this is standard practice? Many thanks.

forgotmyname

When you opened the account was it setup in such a way that both signatures would be required for everything? Or can either of you sign cheques etc?

Either you got told the wrong information or he got lucky and someone didnt know they should have had 2 signatures.
A complaint to the manager maybe worth a stamp.

Runnerblade

Thanks Forgotmyname,
It was set up so that we could sign cheques etc independently of each other. I can see how, with a joint account, most people would need this facility (or everything would take so much longer) but it still surprises me that he could close it down without my consent. As you suggest, maybe I was given bad information (but then this is one of the least reliable banks, according to all the polls, and they've made a hash of things so many times, it wouldn't surprise me if they'd made mess of this as well!). Thanks again

JuicyJesus

It depends on what the terms of the account say. Plenty of banks allow one party to close a joint bank account where the signature mandate allows one person to sign for any transaction, and where there is no dispute between the parties (e.g. couple splitting up).

jonesMUFCforever

OP have you lost out in any way by the bank closing the account?
If not move on.
If you have ask them why they did it - I suspect in the T&C it will allow this to happen - but at least you will have a definite answer.

Agricolae

If the account mandate is "one to sign" then either party can close the account so long as there is a credit balance.

In most cases. There are always exceptions and I suspect that a lot of bank branches would rather get the assent of both parties especially where there is regular account activity/debit cards etc.

Vortigern

From Santander's T&Cs for Joint Accounts:
"each of you can use the account on your own, without
the other’s approval (this includes instructions to close
the account)"

Runnerblade

Many thanks for your replies. Re my losses - no, these were not great (less than a tenner). I am actually glad it's closed now. What concerns me is that I was told (not just once, but several times) that to close the account both signatures would be needed. I was even told that we needed to go in person and together to close the account. We had a less-than-amicable split and I was upset at the prospect of having to do this. I've just been given bad information (and should have checked the T&Cs myself). Thanks again.

System

Most banks prefer all account holders to authorise major changes even when the T&Cs allow any party to act.

I think your ex has either got lucky or the bank has noted your request for the account to be closed and when he asked for the same thing decided that they now had the authority of both account holders and acted.

Given some of the horror stories on here due to joint accounts, I would suggest that you count your blessings!

Runnerblade wrote: »

Many thanks for your replies. Re my losses - no, these were not great (less than a tenner). I am actually glad it's closed now. What concerns me is that I was told (not just once, but several times) that to close the account both signatures would be needed. I was even told that we needed to go in person and together to close the account. We had a less-than-amicable split and I was upset at the prospect of having to do this. I've just been given bad information (and should have checked the T&Cs myself). Thanks again.

opinions4u

Account in dispute: Both needed to close.

Account overdrawn: Cannot be closed.

Account in credit: One signature to close.

Can vary between banks, but the criteria above are the basics for most, as far as I'm aware.

If staff have assumed the account is marked in dispute, without looking, but it isn't, that would explain the conversations you've had.

Dave_®f©

And you will still be financially linked. Unless you write to each credit reference agency with a notice of disassociation.