Losing someone close to you can be emotionally challenging, and financial concerns can greatly exacerbate this stress. It can be tempting to use money left behind to meet expenses, however, you must understand your legal obligations before doing so.
If you are wondering about the legalities of accessing money left in a deceased person’s bank account, this article will provide clarity and guidance during this difficult time.
Accessing a bank account after someone has passed away
Every situation is unique and everyone’s circumstances are different, but there are some common reasons for needing to access to a deceased person’s bank account. These include paying essential bills or managing estate liabilities. If you were financially dependent on the deceased, you may be left short of essential living expenses. This is especially true if you were financially dependent on the deceased. Before accessing the deceased’s bank account, it’s vital you understand what you can and can’t do.
Can You Withdraw Money from a Deceased Person’s Bank Account?
Generally, you cannot withdraw money from a deceased person’s bank account except in specific and limited circumstances. First of all, you should notify the bank as quickly as possible after the death – using the account after the person has passed away is illegal.
Once notified and provided with proof of death, the bank will typically freeze the account. For accounts which are solely in the deceased’s name, the bank will stop direct debits and standing orders. A record of unmet payments will be sent to the executor.
You can, however, use funds from the deceased’s account for funeral expenses and inheritance tax payments.
Can I withdraw money from a joint bank account after a death?
If you shared a joint bank account with the deceased, you can continue to access it normally. Unless instructed otherwise, all direct debits and standing orders will continue as usual.
Power of Attorney & Bank Accounts
If you were the deceased’s attorney, you may have had access to their bank account during their lifetime. However, a Power of Attorney ceases upon the grantor’s death, ending your authority to manage their financial affairs.
Executors and bank accounts
As an executor, it’s your responsibility to inform the bank of the person’s passing. Each bank has its own process, which typically requires a death certificate and possibly some forms. While regular withdrawals are prohibited, you can discuss arrangements for covering funeral costs or inheritance tax from the deceased’s accounts with the bank.
Probate and Estate Administration
In most cases, accessing the deceased’s bank accounts requires probate – the legal process of administering the estate. As probate lawyers in Glasgow City Centre, Kee Solicitors can guide you through this complex process, ensuring all legal requirements are met and the deceased’s wishes are respected.
