Joint accounts

[stel]

My partner is executer for a deceased friend and has to deal with two quite substantial long-standing bank accounts, both of several thousand pounds. One is in the joint names of the deceased and his wife, and the other in the joint names of the deceased and his daughter. The wife and daughter claim that now the joint holder is dead the accounts are their property and should not be treated as part of the deceasedÂ’s estate. It is not clear which of the joint holders of the accounts made the deposits over the years

How should my partner deal with these accounts?

[King_Maker]

You will need to establish whether the bank accounts are on the basis of joint tenants or tenants in common. It is likely to be the former. If so, the property passes to the survivor automatically. This does not prevent it from being part of the deceased's Estate for IHT purposes.

However, whilst this type of arrangement is common for husband and wife, it is less so for father and daughter. In the latter case, the daughter might have been added merely for ease of withdrawing funds etc. You may need to investigate the nature of this account further.

[Taxbar]

Bank accounts are not normally held as tenants in common and in the absence of any express written agreement, would be held as joint tenants.
You can have anyone as a joint tenant and in which case the asset passes on death to the survivors in equal shares.
The daughter is entitled to an equal share, unless there is an express agreement to the contrary. This is not unusual at all.

Probate lawyers will be entirely familair with this type of holding, even with unrelated parties.


Daniel Feingold
STP
info@stratax.co.uk