Executors recently discovered lost assets of £629,000, held in multiple bank accounts following the sale of a family farm.
A daughter was in care and had a life interest in her mother’s estate. A law firm was acting as her deputy, looking after her interests. Sadly, she died before her mother. When her mother also died, there were two estates to deal with. There was very little information available about these separate but related estates.
Identifying assets within an estate
It can be very difficult to find out what people own and where they keep their records. Even close family members may not know what’s included in an estate. In this case, a financial profile showed the sale of a family farm. However, it wasn’t clear what had happened to the proceeds.
Following further estate research those dealing with probate for the two estates discovered multiple bank accounts. Hundreds of thousands of pounds could otherwise have remained unclaimed. The surviving beneficiaries will now receive their share of each estate’s full value. It will also make sure they make full payment of liabilities for inheritance tax.
Keeping track of your digital assets
Since the pandemic many people have started to use online banking. They only receive their statements via an app or by logging into their account. Without clear instructions for an estate’s executors, they may never know these accounts exist. Billions of pounds could remain lost in unclaimed pension pots, investments and bank accounts.
Many people, including executors, don’t know there’s a free online tool to find bank, building society and Premium Bond accounts. My Lost Account is a joint venture from UK Finance, the Building Societies Association and National Savings & Investments (NS&I).
However, if banks or building societies think they have your current details they may not record your account as lost. This means the My Lost Account process won’t work so your executors must contact providers directly.
Leaving cryptocurrency in your Will
Estates including cryptocurrency can also prove challenging. If you have investments and savings in things like Bitcoin or Ethereum you should include them in your Will. You must make sure your beneficiaries know how to find and access your accounts when you die. If you don’t, your estate could lose these investments and savings forever.
However, the security of your crypto assets depends on your private key, which you shouldn’t share with other people. Anyone who has the key can take the assets. You may want to consider writing a digital asset access guide for your executors. Alternatively, you could keep a written record of your digital wallets in a safe-deposit box.
Please get in touch if you would like to review your Will to make sure it includes all your accounts and digital assets.
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