Third party mandate with bank

I just wondered if you had a view on this issue? I am 64, in good health and have Lasting Power of Attornies in place for health and finance. I have recently heard about Third party mandates which you can set up with banks and wonder whether its a sensible idea to have one in place so my daughter could always have immediate access to my current account should I become ill or when I die?

Any advice would be appreciated.

Comments

  • eskbanker
    eskbanker Posts: 29,836
    First Anniversary Name Dropper Photogenic First Post
    Forumite
    If you've already set up LPA then generally the purpose of this is specifically so that she can handle your finances if/when you're no longer in a position to do so, so it seems pointless to try to set up something else to achieve the same effect?

    LPA is only applicable while you're still alive, these cease to be active on death....
  • Olinda99
    Olinda99 Posts: 1,167
    First Post First Anniversary Name Dropper
    Forumite
    you could think about a joint accounts not sure if it is possible between a father and daughter but should you die your daughter would continue to  have immediate access to the account
  • DullGreyGuy
    DullGreyGuy Posts: 9,069
    First Anniversary First Post Name Dropper
    Forumite
    Olinda99 said:
    you could think about a joint accounts not sure if it is possible between a father and daughter but should you die your daughter would continue to  have immediate access to the account
    They would with a third party mandate too without creating the financial link
  • EssexExile
    EssexExile Posts: 6,091
    First Anniversary Name Dropper First Post Photogenic
    Forumite
    eskbanker said:
    If you've already set up LPA then generally the purpose of this is specifically so that she can handle your finances if/when you're no longer in a position to do so, so it seems pointless to try to set up something else to achieve the same effect?

    LPA is only applicable while you're still alive, these cease to be active on death....
    And a third party mandate won't help after death as the account will be frozen. I agree, an LPA is all that's needed.
    Tall, dark & handsome. Well two out of three ain't bad.
  • Bigwheels1111
    Bigwheels1111 Posts: 2,250
    First Anniversary First Post Name Dropper
    Forumite
    My dad added his parents to his bank account. Cards and check books etc.
    Co signatures.
    When grandad died, the council, government etc wanted his money.
    He had very little. 2 or 3k at most.
    They hit a brick wall as was my Dad’s account and any money in there was his.
    If your daughter opens an account & adds you to it the money in the account is hers.
    No hold ups or issues.



  • Rusty190
    Rusty190 Posts: 120
    First Anniversary First Post Name Dropper Combo Breaker
    Forumite
    I can see how that could be useful @grandmax2.

    I'm currently doing my LPA but have read that my bank, HSBC, would only allow online access to my accounts to either me or one of my attorneys - not both of us.

    That would be fine and dandy if we lived near each other, but we don't.

    It also means that I may feel compelled to relinquish control over my own finances, sooner than I would want to, just to ensure all goes smoothly.

    Off to read up on 3rd party mandates now - thanks @grandmax2.
  • lr1277
    lr1277 Posts: 1,615
    Name Dropper First Post First Anniversary Combo Breaker
    Forumite
    With a Finance and Property LPA, you do not need to be ill nor have lost capacity for it to take effect. It can be used whilst you are still hale and hearty as long as the attorney has your permission to take whatever action.
    As you have not mentioned it, just make sure the LPA is registered with the bank/building society otherwise the document by itself is useless. 2-3 years ago when my mum and I went to the Nationwide to register and LPA for my dad, we had to sit for an hour with the member of staff as they entered the relevant details on the computer. We also needed the original LPA and also our ID and documents showing our address.I don't know how things work now, but it took a few weeks for things to get setup for access to my dad's accounts, but this was during the latter stages of Covid.
    As an aside, with a Health and Welfare LPA, you absolutely need to have lost capacity before medical staff will ask your attorney about decisions.
Meet your Ambassadors

Categories

  • All Categories
  • 341.5K Banking & Borrowing
  • 249.7K Reduce Debt & Boost Income
  • 449K Spending & Discounts
  • 233.8K Work, Benefits & Business
  • 606K Mortgages, Homes & Bills
  • 172.4K Life & Family
  • 246.5K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.8K Discuss & Feedback
  • 15.1K Coronavirus Support Boards