Closing bank accounts on behalf of survivor

waveyjane

My father died recently and is survived by his wife. He had a lot of joint bank accounts for some reason (I've found four so far from three separate banks), and not only funding them but setting up direct debits for things too (mostly charitable donations). But he didn't involve my mother in any of this, and many of the statements I think have been done on line in the last few years, so we don't know much about them.

We've notified them of his death, so his name's not on them any more. Does anyone know if she can just write and ask for them to close the accounts and move the balance to hers? I'm worried this might cut off some important direct debit we don't know about though - would they alert her to that first?

I'd contact the banks involved but they make it so hard to get through to anyone and branches are miles away.

Thanks for any help.

Keep_pedalling

If you are the executor you can call the bank’s bereavement departments they should be able to provide a list of DDs and will be ably to close the accounts. 

waveyjane

Thanks. First tried Barclays Bereavement Team who say no can do as the account is now not in the name of the deceased. Put me on to Customer Services who demand password, phone app etc. she doesn't have so they won't speak to us. Same again for Lloyds who say it's not a Bereavement case. I'm assuming Nat West will say the same.

Looks like I'm going to have to take her into branches with her ID and see if we can get it done there. There is the PoA option (which I have) but that's a bit OTT just to close an account.

BooJewels

Is there not an option with on-line banking to just sign up for on-line access - as a 'new' user on the account?  My husband and I both had access to our joint account, but it was done independently at different times.  

Unless she's signed up herself at some point herself, she wouldn't be able to log in using her husband's details and they've no doubt been cancelled anyway.   You'd need to wait a few days for details to come through the post, but once you could get in, you can just transfer the money elsewhere to her own preferred account and then close it.  Plus you'd be able to see details of DDs, SOs and any payees.

waveyjane

BooJewels said:

Is there not an option with on-line banking to just sign up for on-line access - as a 'new' user on the account? 

That's an option, but they ask for an activation/ID number in order to sign up (which presumably was sent to her in the post many years ago). One of the banks has said she could write to get a new code sent out though, but that might take a while. I think I'll go into a branch and discuss what's best. She also lives an hour and a half's drive from me so I'm hoping for the path of least involvement for her (she can send letters, but can't really do online stuff much).

BooJewels

I came up against the activation code requirement on something I was doing for my elderly aunt under an LPA and found that it was only valid for 21 days anyway - so it's possible that even if she had one, chances are it would be invalid now.  

A chat in branch might be a good start, local counter staff are generally more helpful than call centre staff who are perhaps overseas.  Do banks still respond to written letters - could she (with your assistance perhaps) just write asking them to close the account and forward the funds to an account she specifies - if that cancels an unknown DD, they'll (the recipient) surely write to you [your father] sharpish about it.

Nearlyold

Is there a valid will, if so who is the executor? Banks will usually pay the money to the Executor before probate is granted if it's below a certain limit, so if the amounts are small I'm puzzled as to what the issue is. If they're saying the accounts are no longer in your Dad's name I'm wondering if they've already moved money in to your Mum's pre existing account(s) perhaps ones your Mum hasn't used in a while? Who contacted the banks initially to close Dad's accounts?

waveyjane

Nearlyold said:

Is there a valid will, if so who is the executor? Banks will usually pay the money to the Executor before probate is granted if it's below a certain limit,

I'm one of the executors. I maybe wasn't clear that these are (or were, rather) joint accounts BTW. And sadly, the amounts are a bit large (>50K) so they're all battening down the hatches. My Mum's account is with another bank, not one of the ones we're wanting to close (and she's familiar with operating that one). We've not contacted anyone to ask them to close anything yet though, just tried to get more info on what's best to do with the least hassle.

(As an aside, there's nothing like valuing an estate to find out that some people have very funny ideas about managing money!)

Sarahspangles

It’s possible your father was spreading risk as FSCS only covers £85k per banking group.  So you might not want to act too quickly to consolidate?

(There are arrangements for larger amounts to be covered and I think inheritance is one, but it only covers for a set period, and as they are joint this scenario may not count as inheritance)

waveyjane

Sarahspangles said:

It’s possible your father was spreading risk as FSCS only covers £85k per banking group.

Yes, I think you may be right. However, I think for the time my mother is alive I will recommend she consolidates to as simple an arrangement as possible.

BooJewels

My son is going to have a nightmare when he comes to sort mine out!  I'm very organised now, but once I get [more] decrepit and confused I might not remain so!    

I would make one personal recommendation though - whilst keeping it simple for your Mum is admirable, don't leave a large sum in a current account - if someone nicks her debit card or she gets compromised in some way (two family elders got scammed in recent years), her current account can be emptied. 

What I do, on the recommendation of someone in the bank when we had a large insurance payout, is to have the bulk of the money in a savings account  - preferably one that earns decent interest, but balances in savings accounts, even if it's just a standard bank one accompanying the current account, can't be accessed as easily.  If she needs a regular income from it to top up her pension, you could set up a standing order to pay an amount each month.  I only keep enough in current accounts to cover what I need in the next couple of weeks.