share dealing with right of survivorship

contentment

Can anyone tell me of an online broker that offers a joint share dealing account that has right of survivorship. Trying to get a relevant answer from individual companies customer services is beyond their comprehension.

Thrugelmir

contentment wrote: »

Trying to get a relevant answer from individual companies customer services is beyond their comprehension.

That's rather unfair I would suggest. I'm sure that you're not an expert in all fields yourself.

Surely it's not a matter for the broker anyway. What's required is the necessary legal documents should the eventuality arise.

xylophone

A couple of my relations had a joint Vantage stocks and shares account with HL- it was clearly understood that on death of one of the joint holders, the shares would belong solely to the other.

http://www.hl.co.uk/investment-services/fund-and-share-account/faqs

CLAPTON

contentment wrote: »

Can anyone tell me of an online broker that offers a joint share dealing account that has right of survivorship. Trying to get a relevant answer from individual companies customer services is beyond their comprehension.

why won't a joint share dealing a/c do (obviously not appropriate for an ISA)

contentment

I don't claim to be an expert on anything, far from it. I don't blame customer services for not knowing technical answers but they should not just guess an answer. I had a look at Vantage but the terms and conditions must state that the joint account has right of survivorship or the proceeds on my death would be considerer for probate or questioned in court if a challeng was made (account with right of survivorship superceedes the will). The survivorship rule is a good way to reduce declared assets for probate and it would be up to the beneficiary (joint account holder) to make it known to the executor for inheritance tax.

xylophone

http://www.capitalmarket.com/Magazine/cm1424/mongor.htm

Might be of interest.

gadgetmind

Is India case law really relevant?

xylophone

Is India case law really relevant?

It was the explanation of how survivorship works on joint share accounts that was of interest - here is a UK link giving similar information.
http://www.informdirect.co.uk/shares/joint-shareholdings/

"If a joint shareholder dies, the shares pass automatically to the remaining joint holder(s) rather than, as with any property not held jointly, according to the deceased’s will or the law of intestacy."

contentment

i agree that joint account will pass to surviviing holder but the deseased share of the value is still considered for probate and inheritance tax, unless the joint holder does not inform, and executor does not know of the accounts existance. It's all legal detail that could cost dear. If the executor were to find out after the joint holder had emptied the account, you have a legal battle where only the lawyers win.

xylophone

In your first post, you were asking only about

Can anyone tell me of an online broker that offers a joint share dealing account that has right of survivorship.

and you have had comments on this point.

With regard to IHT see http://www.hmrc.gov.uk/inheritancetax/how-to-value-estate/joint-property.htm

The above does not change the fact that where an asset is owned as joint tenants the asset does not pass by will.

See http://death-duties.co.uk/content/valuation

"Assets can be jointly owned in two ways – “Joint Tenants” and “Tenants in Common”. For the purposes of administering an estate the main difference is that in the case of Joint Tenants the assets pass automatically on death to the joint owner. Although they must be included in Inheritance Tax calculations they do not form part of the deceased's estate for probate purposes. They are not part of the Personal Representative's responsibilities although it would be normal for the Personal Representative to arrange transfer of title. If a will specifies what should happen to an asset that is owned as Joint Tenants this is ignored as the rules of joint tenancy override the will."

See also http://www.boodlehatfield.com/the-firm/articles/joint-accounts-whose-money-is-it.aspx

contentment

Still trying to find an online broker that offers joint account with survivorship (not tenent in common) but getting a specific relevent answer from individual customer services is impossible and cannot get past customer services by phone or email so will have to try snail mail and hope that it gets to a legal department. Like i said if the executor does not know of the account they cannot declare it for IHT, but if it became known later it could be a problem. My aim is to set up my affairs to limit taxes on my death, just as i have tried to do in life. The joint accounts would give me sole control of the funds untill the access details are passed on (by letter to be opened on my death) to the persons i set up as joint holders.