Fixed rate savings: account holder deceased?

nodough_2

I am about to re-invest a maturing fixed-term savings ISA for my Mum who is 93. The most pragmatic option seems to be a 2 year fix, and whilst she is currently in pretty good health and will hopefully live at least another 2 years, I wonder what the situation is as regards accessing the money in the event she should die before then (myself and my sister have LPOA and will be will executors) Any thoughts/advice appreciated 

xylophone

Check the terms and conditions under "Death of account holder"

wmb194

nodough_2 said:

I am about to re-invest a maturing fixed-term savings ISA for my Mum who is 93. The most pragmatic option seems to be a 2 year fix, and whilst she is currently in pretty good health and will hopefully live at least another 2 years, I wonder what the situation is as regards accessing the money in the event she should die before then (myself and my sister have LPOA and will be will executors) Any thoughts/advice appreciated 

The T&Cs will tell you, it might be in the general T&Cs rather than the specific account's, but it isn't usually an issue, normally the term will be broken without penalty.

IanManc

nodough_2 said:

I am about to re-invest a maturing fixed-term savings ISA for my Mum who is 93. The most pragmatic option seems to be a 2 year fix, and whilst she is currently in pretty good health and will hopefully live at least another 2 years, I wonder what the situation is as regards accessing the money in the event she should die before then (myself and my sister have LPOA and will be will executors) Any thoughts/advice appreciated 

A Power of Attorney ends immediately on the death of the donor, so would be of no relevance if your mother died.

Keep_pedalling

Most will release funds to an executor before the term is up. As well as checking the T&Cs for such an event also check what the maximum they will hold without the need to get probate and keep the amount held with any one institution below that level. 

bryanb

At her age I’d consider spending it rather than fixing.

wmb194

bryanb said:

At her age I’d consider spending it rather than fixing.

Or keep it instant access in order to cover e.g., care costs.

Altior

On the surface it appears quite difficult to argue that a 2 year fixed term bond is the most pragmatic option available for a 93 yo. 

badger09

Altior said:

On the surface it appears quite difficult to argue that a 2 year fixed term bond is the most pragmatic option available for a 93 yo. 

It might be. Depending on the amount and accessibility of other savings.