Valuing bank accounts

The balance on all the deceased person’s bank accounts will need to be included as an asset of the estate. The balance will need to include all interest accrued to the date of death.

You should notify the branch (in writing, in person or by telephone) of the deceased’s demise, the date of death and request a final statement for the account(s).

You will also need to provide certain documents to the bank before the information can be provided.

If there is a will, the bank will want to see the following documents

1. The original death certificate or a verified copy.

2. Identification for whoever is dealing with the estate. This will usually be photo identify in the form of a passport or driving licence plus a utility bill with the person’s residential address on it.

3. An original or certified copy of the will.

4. The bank may also need to see the original or official sealed copy of the grant of probate once it has been issued. Banks will almost always need to see this document if there is more than £15,000 in the account(s).

If there is no will, the bank will want to see the following documents

1. The original death certificate or a verified copy.

3. The bank may also need to see either the original or official sealed copy of the letters of administration once they have been issued. Banks will almost always need to see this document if there is more than £15,000 in the account(s).

Also request from the bank

When you contact the bank to request the final account, you may also want to ask for the following:

1. Request details of standing orders and direct debits and ask for these to be stopped.

2. Ask for details of any cheques that the deceased person wrote prior to death and which have subsequently been presented. These will constitute debts and hence should be included in the deceased person’s liabilities.

3. Ask the bank if any formal documents (such as deeds or share certificates) are being held on behalf of the deceased person.

4. Request a statement showing interest received (gross and/or net) on the account(s) as from 6th April (the first day of the tax year). This information is not needed to obtain the grant of representation or for inheritance tax purposes but will be needed to complete the deceased person’s income position. If an accountant is handling the deceased’s income tax, then they should take responsibility for this.

5. Finally, you may want to take the opportunity to open a new bank account for the personal representatives.

If the deceased held a joint account

If the deceased held a joint bank account, you should only include the amount of money in the account that the deceased person contributed.

Incidentally, the balance on the account will not usually form part of the deceased’s estate. The surviving holder will usually be entitled to all the money in the account. When the bank has seen the death certificate, the joint account will simply be transferred into the remaining account holder name.

For further information on valuing joint bank accounts, please see the separate section of Lasting Post on Valuing jointly owned assets.

Please note

Please note that information which we provide through Lasting Post is in outline for information or educational purposes only. The information is not a substitute for the professional judgment of a solicitor, accountant or other professional adviser. We cannot guarantee that information provided by Lasting Post will meet your individual needs, as this will very much depend on your individual circumstances. You should therefore use the information only as a starting point for your enquiries.