What is the punishment for taking money from the deceased account in UK ?

When a loved one passes away, handling their financial affairs can be a complex and sensitive matter. In the UK, the law is clear about the illegality of withdrawing money from a deceased person’s bank account before the estate has been properly administered. This article delves into the legal ramifications of such actions and outlines the proper procedures to follow.

The Illegality of Unauthorized Withdrawals

It is illegal to withdraw money from a deceased person’s account without the appropriate authorization. This act is considered theft from the estate and can lead to criminal prosecution¹. The severity of the punishment can vary depending on the amount of money taken and other circumstances surrounding the case.

Potential Punishments for Theft from an Estate

The consequences for illegally taking money from a deceased’s account can include:

• Fines: Offenders may be required to pay a monetary penalty.
• Imprisonment: In more severe cases, individuals may face jail time for theft from the estate².

The Correct Legal Process

To legally access funds from a deceased person’s account, one must follow the proper legal procedures:

1. Notification: Financial institutions must be informed of the death promptly.
2. Grant of Probate: The executor or administrator must obtain a Grant of Probate or Letters of Administration to access the funds legally.
3. Estate Administration: The estate must be administered according to the Will or, if there is no Will, the rules of intestacy³.

Joint Accounts and Exceptions

Joint accounts are an exception, where the surviving account holder can continue to access the funds. Some banks may allow access to accounts without a Grant of Probate if the amount is below a certain threshold, typically between £15,000 and £25,000.

Conclusion

The administration of a deceased person’s estate is a responsibility that carries legal obligations. Unauthorized withdrawals can have serious legal consequences. It is crucial to adhere to the legal processes to ensure that the estate is managed correctly and lawfully.

By understanding the legal framework and consequences, individuals can navigate the complexities of estate administration with greater clarity and compliance. This knowledge not only helps in avoiding legal pitfalls but also ensures that the final wishes of the deceased are honored and the rights of the beneficiaries are protected.