Bank closed deceased fathers account and should not of

CSL50

My father passed away and his wife,my stepmother closed his account which was in his name only the day after ,only producing a death certificate, not the Will. The Will states his money is to go to pay his funeral,debts and any residual  is only hers for interest not the capital ,she then passed away two weeks later and bank have said money has gone into her account ,which her Will states all her estate goes to her son,and we cant access it to pay funeral costs etc. This is very distressing and we are unable to ask her son as its difficult.  What to people suggest. Thanks for your help.

Keep_pedalling

Banks will pay out sums under a certain amount without the need for probate or seeing a copy of a will. They only require a death certificate and proof of the relationship to the deceased.

Who is administering each estate?

Dox

The bank has almost certainly done nothing wrong. The fact the money from your late father's account is now in your late stepmother's account doesn't have any impact on how your father's estate is administered - it doesn't 'belong' to her estate just because it is being held in her account.

-taff

Go and see a solicitor. Did the will say anything about survivorship for the benefciary? Who is the executor? Would his estate require probate?

https://www.finalduties.co.uk/what-happens-when-a-beneficiary-of-a-will-dies/

Keep_pedalling

-taff said:

Go and see a solicitor. Did the will say anything about survivorship for the benefciary? Who is the executor? Would his estate require probate?

https://www.finalduties.co.uk/what-happens-when-a-beneficiary-of-a-will-dies/

It’s a bit premature for that. If the OP is the executor for their father they should contact the executor for their step mother, and hopefully sort this out amicably.

SevenOfNine

Yes, banks will pay out on sight of the death certificate if the amount is below their organisations limit (Lloyds is £50k).

BUT, she will certainly have signed a disclaimer form from that bank. Can't recall if it allows the bank to recover the funds, or it it just protects the bank from handing the cash to an unauthorised person.  I'll look shortly. I think either way that will be your ammunition now, maybe fraud?

You may need a solicitors letter to her executor/son, if you cannot come quickly to an amicable solution for the return of the funds (or retrieval via your dad's bank).

Keep_pedalling

ISevenOfNine said:

Yes, banks will pay out on sight of the death certificate if the amount is below their organisations limit (Lloyds is £50k).

BUT, she will certainly have signed a disclaimer form from that bank. Can't recall if it allows the bank to recover the funds, or it it just protects the bank from handing the cash to an unauthorised person.  I'll look shortly. I think either way that will be your ammunition now, maybe fraud?

You may need a solicitors letter to her executor/son, if you cannot come quickly to an amicable solution for the return of the funds (or retrieval via your dad's bank).

The disclaimer just covers the bank’s backside. 

Tooskint

I dont know how succession works in england but I thought wife would automatically been next of kin so money would rightly have went to her account.  I dont think you should contact the executor of stepmother will as that's not really anything to do wth you.  You just need to deal wth solicitor for your late fathers estate.

Keep_pedalling

Tooskint said:

I dont know how succession works in england but I thought wife would automatically been next of kin so money would rightly have went to her account.  I dont think you should contact the executor of stepmother will as that's not really anything to do wth you.  You just need to deal wth solicitor for your late fathers estate.

That would be the case if he had failed to make a will, but he did and only gave her a life interest in his estate.

CSL50

SevenOfNine said:

Yes, banks will pay out on sight of the death certificate if the amount is below their organisations limit (Lloyds is £50k).

BUT, she will certainly have signed a disclaimer form from that bank. Can't recall if it allows the bank to recover the funds, or it it just protects the bank from handing the cash to an unauthorised person.  I'll look shortly. I think either way that will be your ammunition now, maybe fraud?

You may need a solicitors letter to her executor/son, if you cannot come quickly to an amicable solution for the return of the funds (or retrieval via your dad's bank).

Thank you. We have got a solicitor now. I have been told that the bank was at fault as it assumed wife was beneficiary but she was not. She has signed a doc when she produced the death certificate. If you can have a look to see if its banks job to reclaim I would be grateful.  Thank you .

Keep_pedalling

CSL50 said:

SevenOfNine said:

Yes, banks will pay out on sight of the death certificate if the amount is below their organisations limit (Lloyds is £50k).

BUT, she will certainly have signed a disclaimer form from that bank. Can't recall if it allows the bank to recover the funds, or it it just protects the bank from handing the cash to an unauthorised person.  I'll look shortly. I think either way that will be your ammunition now, maybe fraud?

You may need a solicitors letter to her executor/son, if you cannot come quickly to an amicable solution for the return of the funds (or retrieval via your dad's bank).

Thank you. We have got a solicitor now. I have been told that the bank was at fault as it assumed wife was beneficiary but she was not. She has signed a doc when she produced the death certificate. If you can have a look to see if its banks job to reclaim I would be grateful.  Thank you .

Banks do not assume anything about beneficiaries. They will pay out to an executor on production of a will or to a spouse or child without one. Although this has caused a problem here, it does allow many estates to be wound up without the need to go though probate.