Terminally ill and Bank Accounts?

I do hope this is the correct forum, if not feel free to move it if needed.

My Father unfortunately was diagnosed as terminally ill and is going downhill rapidly.

I am writing this on behalf of my mother, and I know this may sound morbid, but him / we are trying to sort some of his details and estate now, for when the dreaded time comes.

The thing is, that the house is in my Mothers name, so that is fine, and their main Joint Account is in Joint names so we think that maybe fine.
However he has 2 separate accounts, that are in his own name. We are just wondering how the law finds this once he is no longer with us?

Basically, he has mentioned moving all his monies to the Joint Account, just so that a Solicitor isn't needed when he's gone, so things would be much easier. However he is quite ill now and has trouble leaving the house.

Would these automatically go to his spouse or do these need to be moved? (which probably won't get done at the moment)

We are not sure on the law, as we have never had to contemplate this awful situation before, and secondly he has no will in place, and its very hard in his condition for him to do anything at the moment.

What would be anyone's advice on this delicate situation?
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Comments

  • uk1
    uk1 Posts: 1,862 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Does the two accounts have cheque books? If so could he sign two cheques?
  • Topaz99
    Topaz99 Posts: 45 Forumite
    Thank you, I could ask, and would probably think he has Cheque books (as he is old school), so writing cheques with the balances of each account to the Joint, i suppose would close these 2 outstanding accounts (or just leave them with £0.00)
  • uk1
    uk1 Posts: 1,862 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    Topaz99 wrote: »
    Thank you, I could ask, and would probably think he has Cheque books (as he is old school), so writing cheques with the balances of each account to the Joint, i suppose would close these 2 outstanding accounts (or just leave them with £0.00)

    Yes, the cheques can be written out for him to pay your mother and he can make his best effort to sign them. This could be for the balance of his account and should remove both his worry and those who are caring for him. That would basically cure this issue.
  • YBR
    YBR Posts: 667 Forumite
    Seventh Anniversary 500 Posts Mortgage-free Glee! Name Dropper
    Do try to get a will sorted - ask a solicitor to come to him if that makes it possible.
  • Transfers between spouses a free of all legal and tax implications, so there is nothing stopping him doing that.

    However even if he does not do this you are noT going to need solisitors to wind his estate up, and unless we are talking about very large amounts here the banks will release the money without the need to obtain probate.

    If he has any ISAs these can now be transferred to his widow after death so it may not be a good idea to lose that ability by transferring out now if he holds over the £20,000 annual allowance.
  • tealady
    tealady Posts: 3,846 Forumite
    Part of the Furniture 1,000 Posts Name Dropper Mortgage-free Glee!
    Also gave a chat with your local registrars 're the "Tell us once" service. I know someone who was in the same position as you (terminally ill family member). Before the person died their family spoke to the registrar, they found it helpful.
    Find out who you are and do that on purpose (thanks to Owain Wyn Jones quoting Dolly Parton)
  • csgohan4
    csgohan4 Posts: 10,600 Forumite
    Ninth Anniversary 10,000 Posts Name Dropper Photogenic
    Consider getting a power of attorney asap for health/finances before he loses capacity to help manage his finances and decisions and depending on his prognosis if you have enough time to do apply for one
    "It is prudent when shopping for something important, not to limit yourself to Pound land/Estate Agents"

    G_M/ Bowlhead99 RIP
  • Mojisola
    Mojisola Posts: 35,571 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Topaz99 wrote: »

    My Father unfortunately was diagnosed as terminally ill and is going downhill rapidly.

    Is he getting the health benefits he's entitled to?

    There are special rules for the terminally ill which push everything through very quickly.
  • Rich2808
    Rich2808 Posts: 1,380 Forumite
    Ninth Anniversary 1,000 Posts Name Dropper Combo Breaker
    Sorry for your family situation.

    Get everything into a joint account as soon as possible. It makes administering the estate so much easier - as the cash becomes the other account holders money immediately. We did this with most of my late father's cash. However he had a sole account with just £150 in it with one bank - they wanted probate to go through before releasing it to my mother even though the sums were negligible and there was no risk (as she was named as beneficary in his will and executor)..

    But also think how this may affect your mother's entitlements to benefits, pension credit or council tax support or future care costs (assuming she is elderly) if large sums are involved if she doesn't have her own sizeable pension. There may be merit in you or a sibling inheriting the cash instead (i.e. having the joint account with your dad) - just a thought!
  • Topaz99
    Topaz99 Posts: 45 Forumite
    Mojisola wrote: »
    Is he getting the health benefits he's entitled to?

    There are special rules for the terminally ill which push everything through very quickly.

    Yes I think he is, but can you tell me any more on what he should be getting?
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