The probate process can be a long and involved one that many people want to avoid. So, how much money can you have in the bank before probate in the UK?

Unfortunately, there isn’t a set limit. Individual banks set their own “thresholds” for how much can be in the deceased’s accounts before they ask to see a Grant of Probate.

To be connected to a specialist solicitor near to where you live, please either call us now on 0845 1391399 or complete a Free Online Enquiry.

If you aren’t sure whether you need a Grant of Probate to access funds in a deceased person’s bank accounts, here is everything you need to know:

What Is Probate?

Before we start, it’s worth being clear on what probate is. Probate is the legal right to administer the estate of a deceased person.

Applying for a Grant of Probate (the legal document that gives you the right) takes about a month. There are several forms to fill in and it can only be done by the person named as the executor in the will.

If there is no will, you need to be one of a set list of close relatives (listed under the intestacy laws) to apply for a similar legal permission document called a Grant of Letters of Administration.

How Much Money Can You Have In The Bank Before Probate In The UK?

Of course, as a general rule, you can’t access the bank accounts of other people. Just because a person has passed away doesn’t mean someone can automatically access their funds.

Each bank sets its own “probate threshold” at which it will ask for proof you are allowed to access the accounts.

This is where the Grant of Probate or Letters of Administration come in. They are the proof you need before you can access the full funds in the account of someone who has died.

However, most banks will allow you to access some funds. For example, you need to pay Inheritance Tax from and on the estate before you can apply for probate. Banks understand this.

Will A Bank Release Funds Without Probate?

The decision as to how much can be in a deceased person’s account without probate being required to access is down to each individual bank. In general, the rules are different:

• For a small estate – is an actual thing in the law. A “small” estate has to be valued under £5000 and not include any property. Banks will normally release small estate funds without probate.
• On average – the average starting probate threshold tends to be between £10 000 and £15 000.
• Under special circumstances – even if the amount in the account is below their threshold a bank may still request to see a Grant of Probate if the estate’s details are unclear in any way.

How Much Can You Have In A Bank Account Before It Goes To Probate?

This depends on the institution the account is with. Individual banks may also total the amounts differently – either in all the accounts a person held or the total value of the estate.

Although this is subject to change, the banks and other financial institutions in the UK set their thresholds approximately like this:£15 000 in account or less

• National Savings & Investments – £5 000, though this may rise to £15 000 depending on how many executors are named in the will
• AXA – £10 000
• Bank of Ireland – £10 000
• M&S Money – £15 000
• The Post Office – £10 000

£20 000 to £25 000 in account

• Sainsbury’s Bank – £20,000
• Birmingham Midshires – £25 000
• Cheltenham & Gloucester – £25 000
• NatWest – £25 000
• Royal Bank of Scotland – £25 000

£30 000 in account or more

• Britannia – £30 000
• Co-op Bank – £30 000
• First Direct – £30 000, though this may rise as high as £50 000 if any of the beneficiaries of a will are children. First Direct often decides on the merits of each individual account
• HSBC – £30 000, though like First Direct this may rise as high as £50 000 in individual cases or if beneficiaries are children or the deceased’s spouse

£50 000 in account

All of the following banks and building societies allow there to be £50 000 in the accounts of a deceased person before they ask for proof of probate:

• Aviva
• Bank of Scotland
• Barclays
• Halifax
• Lloyds TSB
• Nationwide
• Santander

What Amount Triggers Probate?

If you need any support in the probate process – including any questions about how much money you can have in the bank before probate is triggered – get in touch with our experts today.

To be connected to a specialist solicitor near to where you live, please either call us now on 0845 1391399 or complete a Free Online Enquiry.

 

You usually need to apply for probate before you can deal with the financial affairs of someone who has died. But do you always have to? How much money can you have in the bank before probate becomes necessary?

To be connected to a specialist probate solicitor near to where you live, please either call us now on 0845 1391399 or complete a Free Online Enquiry.

Let’s take a look into probate and learn about where different banks and building societies set the thresholds for the amount of money a deceased person can have in their bank accounts before probate is needed:

What Is Probate?

Probate is a legal process that often happens after someone passes away. When a person dies, under most circumstances, someone needs to control what happens to their estate (the collection of assets they gathered during their life – bank accounts, property, investments, but also debts).

As well as the process, “probate” also refers to the legal document that gives someone the right to do this. This document can be called:

• A Grant of Probate if the person who has died had a will. In this case, the person given that right will be the executor of the estate named in the will.
• A Grant of Letters of Administration if there was no will.

Why Is Probate Needed?

In general, if you want to deal with the assets of someone who has died – perhaps you want to sell the house they used to live in – you need to obtain the legal right to do so.

For example, banks don’t let just anyone access the accounts of people who have died. That’s why one of the things that has to be handled when a person passes away is notifying their bank so their accounts can be closed. This usually requires one of the above legal documents.

There are also some circumstances when the probate process isn’t needed:

• Small estate – when the person who has died has what is called a “small estate”, a small amount of money in the bank and little else. This is usually what people are thinking about when they’re considering bank money limits before probate. We’ll get to it below.
• All assets go to spouse – if the deceased chose to give all of their assets to their surviving spouse, then probate is not usually required.

What Is A Person’s Estate?

In legal terms, a person’s estate is everything they owned. This commonly includes:

• Money – either cash or funds they have in a bank account or building society.
• Money they are owed – this could be from other people, but could also include a life insurance policy.
• Property – such as the home or business property they own, or perhaps some land.
• Investments – shares, stocks, bonds, and other financial assets.
• Personal possessions – such as jewellery or vehicles that are worth significant amounts of money.

It’s also important to note that a person’s estate has what we might think of as “negatives” to take away from it too.

Picture a person who has died owing money to perhaps a private hospital or care facility or who has a credit card bill, for instance.

How Much Money Can You Have In The Bank Before Probate?

There aren’t really any hard-and-fast limits to the amount a person can have in the bank before probate is needed. A ballpark figure would be around £10 000 to £15 000.

Yet it’s important to realise that it is largely left up to the discretion of individual banks to set limits for the amount of money they allow before requiring a Grant of Probate (or Grant of Letters of Administration) to release funds from the account of a deceased person.

A safe figure will always be £5000 or less with no property. The more complex an estate becomes, and the closer it gets to £15 000, the more likely it is for a bank to expect the probate process to be followed.

Bank Account Limits Before Probate

The figures that individual banks and building societies have set as thresholds as of early 2023 are:

• £50 000 – Aviva, Bank of Scotland, Barclays, Halifax, Lloyds TSB, Nationwide, Santander.
• £30 000 – Britannia, Co-op Bank.
• £25 000 – Birmingham Midshires, Cheltenham & Gloucester, NatWest, Royal Bank of Scotland.
• £20 000 – Sainsbury’s Bank.
• £15 000 – M&S Money.
• £10 000 – AXA, Bank of Ireland, Post Office.

Both First Direct and HSBC decide on a case-by-case basis and NS&I varies its figure depending on the number of executors and what the will says.

All in all, the probate process isn’t always as simple as you might think. It’s always worth confirming with a legal expert you trust or asking the bank directly how much money can be in an account before probate is needed.

Need To Talk To An Expert About Probate And Whether You Need It?

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Probate Solicitors Near Me

To be connected to a specialist probate solicitor near to where you live, please either call us now on 0845 1391399 or complete a Free Online Enquiry.