FSCS cover.

aveburycircle

Good morning,

I wonder if you could help me please.

My Wife passed away in Feb. this year and a solicitor is dealing with her will.

She had substantial ( to me ) money in 3 easy access accounts, One was a joint account.OK.

The solicitor has confirmed that there is a bottle neck in the probate.office and it could take up to 9 months to obtain probate. What happens if. one or more Companies ceases trading  during this time, is the money still covered ?

I have asked the Solicitor, he thinks its covered, I rang FSCS and they said we don`t answer hypothetical questions ( I think it`s relevant ) and no answer on the web.

Is it covered ?

Thank you,

Bryan

soulsaver

Do you mean deposits above the £85k FSCS limit - the 'temporary high balance' facility?

I would have thought you'd be allowed to access funds in a joint account in your name without probate?
Or do you mean a joint account not in your name?

Keep_pedalling

Yes it is covered. The joint account is now a sole account and you don’t need probate to cover that. How much is in her sole accounts and what banks or BS are held in?

Did her will appoint the solicitor as her executor? Unless her affairs are complex it is not usually a good idea tho use a solicitor as apart from the expense involved winding up the estate tends to take far longer than doing it yourself.

tacpot12

The money (upto £85k) is still covered. My basis for saying so is this link: Claims for deceased customers | FSCS

The link wouldn't be there if coverage stopped at the time of death. 

The Temporary High Balance coverage is only there for temporary balances. If these are Easy Access savings accounts, then unless you have evidence to show that your wife had deposited the money with the intention of withdrawing it within 6 months, it is unlikely to be regarded a temporary balance.

I don't think you need to worry about this, unless you aware that one of the institutions holding the money is currently under threat.

born_again

TBH, the chances of needing FSCS are slim to none.
Even amounts over £85K would be paid out from the remaining funds from the institution once it is wound up on a % basis.

1spiral

tacpot12 said:

The money (upto £85k) is still covered. My basis for saying so is this link: Claims for deceased customers | FSCS

The link wouldn't be there if coverage stopped at the time of death.

Never really thought about this before but what if the deceased had 85K and the beneficiary also 85K within the same institution. Is the claim still handled as 2 people so 170K covered or is it deemed to be part of the beneficiary's money therefore exceeding the limit now by 85K?

masonic

1spiral said:

tacpot12 said:

The money (upto £85k) is still covered. My basis for saying so is this link: Claims for deceased customers | FSCS

The link wouldn't be there if coverage stopped at the time of death.

Never really thought about this before but what if the deceased had 85K and the beneficiary also 85K within the same institution. Is the claim still handled as 2 people so 170K covered or is it deemed to be part of the beneficiary's money therefore exceeding the limit now by 85K?

The deceased's £85k would initially remain within the estate, but would then pass to the heir, at which point they would need to move it promptly or rely on the temporary high balance protection if applicable.

aveburycircle

Hi All.

Thank you for your replies.

My late Wife has three online easy access accounts each having £85,000.00 and covered by FSCS.

One is a joint account and I have now transfer-ed £85,000.00 to a new online account.

The reason I went to a Solicitor is that the wills were drawn up some 45 years ago and the two named Executors

are now too ill to carry out what is required  and therefore, I thought this would be a bit complicated for me to deal with..

From your replies it looks like the money is protected even tho` she is deceased,

Thank you because this has been a concern of mine apart from all the other things that have to be carried out.

Aveburycircle.