If a family member passes away, relatives must follow a series of steps to avoid paying penalties. What are they? By definition, a bank account is a financial contract between a person or company and an institution, where the customer deposits their money so that the bank can manage it, keep it safe and facilitate its use through various services and transactions.
Within the financial system, bank accounts are among the most important, as they allow payroll deposits, the safekeeping of physical money and the management of personal income.
Although most people have one, very few users know what to do when a family member who is an account holder dies and the consequences of not notifying the relevant bank.
What to do when the holder of a bank account dies?
In the first instance, the heirs of the deceased person must go to the Spanish Tax Administration to find out if the deceased had one or more bank accounts, as banks are obliged to report these accounts to the administration, explained the Association of Financial Users (Asufin).
Secondly, any accounts held by the account holder that are open must be closed so that new fees are not incurred year after year. Otherwise, this could create new debts for the heir who claims the inheritance.
To avoid this, the relative must notify the bank that the account holder has died and attach the death certificate and, if available, a copy of the will. If it is not possible to present the latter document, a statement from the heirs may be provided.
‘These same documents, in addition to the supporting documentation for the acceptance, partition and allocation of the inheritance, are also necessary to prove your status as an heir, which is essential for making any transactions on the account,’ explained Asufin.
Finally, according to the association cited by the newspaper La Razón, if 20 years pass without anyone claiming the account, the funds will pass into the hands of the State.
‘The most common scenario is that someone notifies the Tax Agency, which has a specific channel for reporting these accounts and abandoned inheritances in which the State becomes the heir,’ concluded the entity.
