Ex wont close joint account

BPPete

Hi all,
I had a joint bank account with an ex some five years ago now. When we split I went into branch, froze the account, and signed the paperwork for the account closure. My ex refused to sign the paperwork. I've sent it to her a further three times over the past five years and yet the account is still open. Lloyds have refused to assist and state it is a civil matter. I've finally had enough and gone to Lloyds financial abuse team to see if they can assist. I don't even have any contact with the ex anymore. Has anyone had any similar experience? Or, can anyone offer any advice? 
Thank you in advance.  

Thrugelmir

Is the account balance zero? 

MovingForwards

If it's a zero balance or in credit, have you asked to have your name removed from it.

Daliah

According to the Lloyds T&Cs, any account holder can request the closure of an account. If they refuse to action your request, raise a formal complaint. Or just ask for your name to be taken off the account. All assuming that the account balance is zero.

smashinglynaive

Daliah said:

According to the Lloyds T&Cs, any account holder can request the closure of an account. If they refuse to action your request, raise a formal complaint. Or just ask for your name to be taken off the account. All assuming that the account balance is zero.

I suspect the issue is that the account is frozen under some sort of dispute process.  Typically once this happens either neither party can do anything relating to the account unless it is unfrozen (with agreement from both parties) or agreement from both parties is required to perform any actions.

I appreciate this is HSBC rather than Lloyds (who I'm struggling to find information for) but it appears typical from what I've seen of the way these things are dealt with https://www.hsbc.co.uk/help/life-events/separation/help-and-support/

If a joint account is frozen, please bear in mind the following:

• HSBC will require instruction from both account holders to make Bill Payments, Telegraphic Transfers or International Payments on the account.
• Debit cards for both account holders will be deactivated.
• No further cheques should be written if you or your former partner has a cheque book, as cheques will not be paid.
• Both account holders will be required to provide us with their agreement if any Direct Debits or standing orders payments need to be paid from the account.
• Online Banking will be suspended for both account holders for the particular joint account.
• We will also freeze access to joint savings accounts for both account holders.
• Both account holders are required to agree on the closure of the joint account.
• If you or your former partner, decide to continue to use your account, we’ll need instruction from both account holders agreeing to un-freeze it.

Daliah

Different banks have different T&Cs.

The HSBC ones strike me as very backwards regarding closure of joint accounts.

Anyway, the OP's account is with Lloyds.

smashinglynaive

Daliah said:

Different banks have different T&Cs.

The HSBC ones strike me as very backwards regarding closure of joint accounts.

Anyway, the OP's account is with Lloyds.

I've worked for a bank in the past, they had similar restrictions (in fact they were arguably even strict, no action could be taken at all on a frozen account regardless of agreement by both parties.)

I'm fully aware HSBC are not the same bank but their rules are very typical of frozen accounts (and as I said, I'm struggling to find anything relating to what can and can't be done with a frozen joint Lloyd's account.)  So is it your assertion that despite presumably being requested by a number of different staff members over the years, all of them don't know that the joint account can be closed by one person? Or is it perhaps a more reasonable assumption that perhaps the freezing of the account that has now mandated the agreement of both parties?

cx6

A frozen bank account simply means ALL activity is stopped on that account. This includes closure.

That is why you are having difficulty closing it without the agreement of your ex.

On the positive side, nothing can happen on the account so it acts as if it were closed.

eskbanker

https://www.lloydsbank.com/help-guidance/for-your-next-step/divorce-separation/value-of-a-financial-checklist.html seems to be a fairly generic guide rather than something definitive and binding (such as Ts & Cs obviously!) but may be indicative of Lloyds' approach:

4. Joint bank accounts: you’ll need to agree with your former partner how to deal with any joint accounts. Both of you are liable for any existing debt and for any increases. If you cannot agree on how to split any credit or debit balances then advise your bank. They will freeze the account and only act on instructions from both of you.

Daliah

eskbanker said:

https://www.lloydsbank.com/help-guidance/for-your-next-step/divorce-separation/value-of-a-financial-checklist.html seems to be a fairly generic guide rather than something definitive and binding (such as Ts & Cs obviously!) but may be indicative of Lloyds' approach:

4. Joint bank accounts: you’ll need to agree with your former partner how to deal with any joint accounts. Both of you are liable for any existing debt and for any increases. If you cannot agree on how to split any credit or debit balances then advise your bank. They will freeze the account and only act on instructions from both of you.

This guidance is clearly not in line with their T&Cs. I suspect some progressive lawyer changed the T&Cs to what they are now, and the dinosaurs responsible for the guidance haven't caught up.

It's pretty ridiculous of a bank to insist on two people agreeing something trivial as an account closure* after their relationship has broken down. In some cases, this just serves to prolong the acrimony, and it really isn't the role of bank to stand in the way of two people separating their affairs.

Perhaps there used to be a teeny-weeny justification in the distant past when we didn't have basic accounts, and when it might not have been possible for one of the account holders to get another account for themselves. Though even that is a bit far-fetched, as the banks are very quick to freeze the account at the first hint of a dispute, so the account is unusable, anyway.

* always assuming the account balance is zero

Daliah

cx6 said:

A frozen bank account simply means ALL activity is stopped on that account. This includes closure.

That is why you are having difficulty closing it without the agreement of your ex.

On the positive side, nothing can happen on the account so it acts as if it were closed.

There's nothing positive about having a financial association, on your credit reference files, with a person you do not wish to have such an association with any longer.

Apart from perhaps simply not wanting to be reminded of the person any longer, a financial association can have serious negative consequences, e.g. when applying for credit, or even when applying for a job.

It is outrageous that a bank should want to insist that you cannot terminate the association. Which is probably why Lloyds, and some other banks, have updated their T&Cs and no longer force people to remain named on joint accounts which no longer have any useful purpose.