Closing Bank Accounts When Someone Dies

This article provides helpful general information concerning bank account closures and gives details of the specific rules for the major UK banks. We have a section below dedicated to each of the major banks with links provided so that you can easily find the information you require.

Who is responsible for closing bank accounts when someone dies?

It is usual that the personal representative of the deceased person will act for an account that was in the single name of the deceased person. If there was a will the representative is the executor named in it.

General requirements for closing bank accounts when someone dies

• Register the death
• Get in touch with organisations that may be affected – utility companies, insurance etc.
• Notify the bank – phone, online, post or in person at a local branch
• Provide a copy of the Death Certificate
• Proof of authority to freeze the account – Grant of Representation and/or Grant of Probate
• Proof of identity – passport and utility bill etc.

Proof that you have the authority to act

A copy of the Will be evidence that you are an executor. In the circumstances that there is no Will, evidence of a relationship to the deceased person will be required.

A Grant of Representation

A Grant of Representation is the document that confirms you have the legal status as well as the ability to deal with the deceased person’s estate. This may or may not be required and whether you do need to provide this is dependent on a number of criteria. These include the amount of money in the account and the bank with whom the deceased person held the account. The amount that a bank will release varies with some setting the amount at £15,000 and others as much as £50,000. If access is granted to the account without this document, you may have to sign a discharge and indemnity form stating you will return monies if you did not have the right to access the funds. Before the Grant of Representation is issued, most banks allow access to the account of the deceased person, so that expenditure relating to the estate can be settled.

A Grant of Probate

Probate is the legal right to deal with someone’s property, money and possessions (their ‘estate’) when they die. Some banks may release monies immediately, but most will want to see a Grant of Probate. This document verifies who is legally permitted to deal with the money in the bank account. The government website has very helpful information about how to get probate, checking if you can apply and how to apply for it.

What happens when bank accounts are held in joint names?

If a particular bank account is held in joint names, it will usually pass into the sole name of the other account holder. In the UK, bank accounts held by joint account holders are known as joint tenants. The passing of the account to the surviving holder occurs automatically by the principles of survivorship. In this scenario, the bank account will not have to be closed.

Procedures relating to specific banks when closing bank accounts when someone dies

• Barclays
• Lloyds
• NatWest
• Nationwide
• HSBC
• Royal Bank of Scotland
• Standard Chartered
• Santander

Barclays

Barclays will need the name, address, and date of birth of the deceased person. This can be communicated online, by phone, post or at a branch. Barclays will then stop any further communications to the account holder as soon as possible. They will also freeze the account and cancel Direct Debits and Standing Orders. You will be given a reference number beginning with BRV, which will help if you have any queries.

The originals of the following will be needed: Proof of Death, Proof of Identity and a Personal indemnity Closure form. A Grant of Probate may also be required.

Lloyds

In addition to registering the death and letting Lloyds know, the bank also has a Bereavement Guide and offers Estate Administration services. Lloyds also states that if the account holder has money in the account, it can be used to help with funeral bills and other expenses.

• Funeral expenses
• Inheritance tax
• Probate fees or confirmation fees
• Repatriation
• Cost of Memorial or Headstone

NatWest

Nat West has a Click & Notify service, which is quick and easy. By clicking on ‘Notify us of a bereavement’, you will go through a number of questions. NatWest also has a Bereavement checklist.

• Register the death
• Arrange the funeral
• Let the bank know – for multiple banks use the Death Notification Service
• Use the Government’s ‘Tell us Once’ service
• Managing their bills
• Check if you can get bereavement benefits through Bereavement Support Payment

The Death Notification Service is a free service, which allows you to notify a number of member organisations of a death at the same time.

Tell Us Once is a service that lets you report a death to most government organisations in one go.

• HM Revenue and Customs (HMRC)
• Department for Work and Pensions (DWP)
• Passport Office
• Driver and Vehicle Licensing Agency (DVLA)
• Local Council
• Veterans UK
• Some public sector Pension schemes

Nationwide

Closing an account with Nationwide is dependent on the funds in the account. The bank, after you have sent them the death certificate, will send you a ‘Request to Close Account(s) (SF220) form by post in which they include an envelope. To close accounts with more than £50,000, a Grant of Probate will also need to be provided and included in the envelope along with the SF220 form.

On their comprehensive information page, Nationwide has sections on releasing money to pay for expenses and how to arrange access to funds to help with expenses.

Nationwide will release up to £8,000 for paying for the funeral. Any request above that amount will have to be sent to the Bereavement Services team.

HSBC

HSBC has a clear set of steps concerning notifying HSBC of a death:

• Registering the death
• Locating the will - If a person dies intestate, check government guidelines
• Arranging the funeral
• Notifying HSBC
• Dealing with the estate
• Letting other organisations know

There is also a section on bereavement advice for commercial customers. This includes help for Sole Traders and Limited companies. The latter is broken down into sections to include Sole Directors, Partnerships, Limited Liability Partnerships and Clubs and Societies.

Royal Bank of Scotland

The Royal Bank of Scotland also has a Click & Notify service, which is a simple and easy digital way to notify the bank of the bereavement. A Bereavement checklist is provided as well as a section entitled, ‘What happens once you notify us?’ There is helpful advice under the following headings:

• Deceased person’s account
• The process
• Documents required
• Communication
• Closure

The bank has a portal and if you use the Click & Notify service you can manage notifications this way. Notifications are made by email, SMS text or letter depending on the method that you initially used to notify the bank. Reminders to upload documents will be sent from the Click & Notify service.

Standard Chartered

Standard Chartered has a pdf document that has all the information needed to close a bank account:

Santander

Santander has an 18-page Bereavement guide subtitled, ‘What you need to know’ with lots of helpful information. It has the informative sections for Personal Customers and Business Customers.

Personal Customers:

• What to do first
• Getting in touch and what you’ll need
• What happens next? Sole and Joint Names
• Information about personal accounts – includes credit cards, loans, savings and current accounts, ISAs, mortgages etc.

Business Customers:

• What you will be asked to do
• Different ways of notifying the bank
• Information about different business types
• Advice on inheritance tax, funeral costs and emotional support

The guide concludes with useful contacts for information and advice, Santander contacts and a Glossary of Terms.

How can CPJ Field help you at this difficult time?

Handling financial administration and closing bank accounts at the time of a bereavement can be difficult. With the right advice, it can be made a little easier, especially when you can lean on those who have done it before. As a trusted and caring family business, we will be with you every step of the way to guide you through all your financial arrangements and to help with your funeral planning needs.