Frozen bank accounts

Information and questions about the Law in Spain and Andalucia.
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jonbar.1
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Frozen bank accounts

Postby jonbar.1 » Sat Oct 31, 2020 12:33 pm

I understand that,upon the death of a partner,their joint bank account will be frozen.Does that stop the surviving partner from drawing money, via cashpoint,from their UK bank account?

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gerryh
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Re: Frozen bank accounts

Postby gerryh » Sat Oct 31, 2020 12:57 pm

On the advice of my Spanish bank manager.
They will only freeze the joint account if they know one of the partners has died.
Until then the surviving partner can open an account in their own name.
Transfer all the money from the joint account and then tell the bank that your partner has died.
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Gerry
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jonbar.1
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Re: Frozen bank accounts

Postby jonbar.1 » Sat Oct 31, 2020 1:21 pm

Hi Gerry
Do you mean the Spanish or UK bank?
I know for certain that the Spanish bank will freeze,but will the UK bank freeze?

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gerryh
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Re: Frozen bank accounts

Postby gerryh » Sat Oct 31, 2020 1:52 pm

As I said "On the advice of my Spanish bank manager."
So yes it is our Spanish account.
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Gerry
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elusive
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Re: Frozen bank accounts

Postby elusive » Sat Oct 31, 2020 2:39 pm

If its a uk bank account it comes under uk law. They dont freeze joint bank accounts to my knowledge

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Re: Frozen bank accounts

Postby Beachcomber » Sat Oct 31, 2020 3:47 pm

Even if they don't it is best to clear out a UK account otherwise the deceased's portion may be taxed as part of his estate. My wife and I have most of our assets in joint accounts but we each have an individual account for this very purpose when it becomes necessary.

As far as a joint Spanish bank account is concerned only the deceased's portion of the account would be frozen and any direct debits would continue to be paid.

elusive
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Re: Frozen bank accounts

Postby elusive » Sat Oct 31, 2020 5:09 pm

You would have to have "loadssss of money" in the bank to have to worry about IHT in the Uk presuming its the same rule for non residents? Lend us a tenner beach!!! :wave: :lol: :wink:

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Wicksey
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Re: Frozen bank accounts

Postby Wicksey » Sat Oct 31, 2020 7:46 pm

The IHT allowance in the UK is only 325,000 pounds so that's not much considering average house prices. I believe that unused allowance can be passed onto the surviving partner if there is one, so could be double that, but presumably a single person would only have the 325k allowance.

elusive
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Re: Frozen bank accounts

Postby elusive » Sat Oct 31, 2020 9:46 pm

Yeah If you are married its basically double as you dont pay any on what your spouse leaves you. Theres also the main residence allowance aswell which can take it upto a million.for a couple

For a Single person its upto 500k


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