Estate Bank Account

[SKinny86]

Hi guys, my dad recently passed away. However, we received some cheques from the insurance which pays to the estate. Unfortunately hospitalization premium plans does not have an option nomination and the insurance refunds the prorated amount to us.

What I know is that to encash the cheque I need to open an estate account with the bank and this will require LOA (Letter of Administration). I was told that once we file a LOA, most likely the banks will be informed about the demise and accounts will be frozen - including joint accounts and everything will go into estate. Want to check if anyone knows if this will be the case?

I have tried to withdraw mostly from the savings accounts however there is also a joint fixed deposit. Understand from the bankers that if we withdraw the FD/SD before the maturity date, we will not be guaranteed the capital return.
Really contemplating whether I should go ahead to file LOA or just forget about cashing out that cheque.

 

[sohguanh]

Hi guys, my dad recently passed away. However, we received some cheques from the insurance which pays to the estate. Unfortunately hospitalization premium plans does not have an option nomination and the insurance refunds the prorated amount to us.

What I know is that to encash the cheque I need to open an estate account with the bank and this will require LOA (Letter of Administration). I was told that once we file a LOA, most likely the banks will be informed about the demise and accounts will be frozen - including joint accounts and everything will go into estate. Want to check if anyone knows if this will be the case?

I have tried to withdraw mostly from the savings accounts however there is also a joint fixed deposit. Understand from the bankers that if we withdraw the FD/SD before the maturity date, we will not be guaranteed the capital return.
Really contemplating whether I should go ahead to file LOA or just forget about cashing out that cheque.

Just to share for my own dad case. Situation is not similar and we need to get a letter of probate which cost a few hundred bucks! He died a poor man so total savings account monies come out also not much. So we drag to get that letter of probate for a few years. Why we finally get it is my mum go approach MP seeking a waiver or discounted probate.

For your case if I were you I will focus on how much is that cheque monies and how much monies your late dad has and if you all know the total amount aggregated? Reason is once frozen really troublesome. So all along I advised ppl in forum best not to die and leave so much monies only create problems. Best is spend close to finish pamper oneself instead.

Ppl who die penniless is best in this world give zero problems for their offsprings.

 

[reddevil0728]

Just to share for my own dad case. Situation is not similar and we need to get a letter of probate which cost a few hundred bucks! He died a poor man so total savings account monies come out also not much. So we drag to get that letter of probate for a few years. Why we finally get it is my mum go approach MP seeking a waiver or discounted probate.

For your case if I were you I will focus on how much is that cheque monies and how much monies your late dad has and if you all know the total amount aggregated? Reason is once frozen really troublesome. So all along I advised ppl in forum best not to die and leave so much monies only create problems. Best is spend close to finish pamper oneself instead.

Ppl who die penniless is best in this world give zero problems for their offsprings.

Strange logic.

If you die poor, your offsprings cannot expect to get much from you, hence no problems which is what you suggest.

if you die rich, if your offsprings don’t need your money, why is it a problem at all? They can just ignore whatever you have also. And don’t have to do anything.

 

[tesarise]

Just to share for my own dad case. Situation is not similar and we need to get a letter of probate which cost a few hundred bucks! He died a poor man so total savings account monies come out also not much. So we drag to get that letter of probate for a few years. Why we finally get it is my mum go approach MP seeking a waiver or discounted probate.

For your case if I were you I will focus on how much is that cheque monies and how much monies your late dad has and if you all know the total amount aggregated? Reason is once frozen really troublesome. So all along I advised ppl in forum best not to die and leave so much monies only create problems. Best is spend close to finish pamper oneself instead.

Ppl who die penniless is best in this world give zero problems for their offsprings.

but how to know when will I die. scare spend finish liao still alive

 

[BBCWatcher]

but how to know when will I die. scare spend finish liao still alive

You probably don’t know when you’ll die. But you could plow some portion of your wealth into high quality escalating life annuities and immediately give away all the rest.

 

[reddevil0728]

You probably don’t know when you’ll die. But you could plow some portion of your wealth into high quality escalating life annuities and immediately give away all the rest.

what if you need more than escalating life annuities?

 

[blurpandasg2014]

Hi guys, my dad recently passed away. However, we received some cheques from the insurance which pays to the estate. Unfortunately hospitalization premium plans does not have an option nomination and the insurance refunds the prorated amount to us.

What I know is that to encash the cheque I need to open an estate account with the bank and this will require LOA (Letter of Administration). I was told that once we file a LOA, most likely the banks will be informed about the demise and accounts will be frozen - including joint accounts and everything will go into estate. Want to check if anyone knows if this will be the case?

I have tried to withdraw mostly from the savings accounts however there is also a joint fixed deposit. Understand from the bankers that if we withdraw the FD/SD before the maturity date, we will not be guaranteed the capital return.
Really contemplating whether I should go ahead to file LOA or just forget about cashing out that cheque.

Condolences on the passing of your dad.

If your dad did not make a Will, LOA must be filed. Regardless, at the end of the day, you need to file LOA if you want to withdraw any of his assets, including insurance payouts.

It's not a very complicated process if done through an experienced lawyer (PM me if need contact) . Once LOA filed/approved, go to the bank, create an estate account, bank will transfer all the deceased assets there. For fixed deposit, most banks will give a goodwill gesture by prorating returns or at least waiving off any early termination fees to get back capital.

 

[royalmix]

Hi guys, my dad recently passed away. However, we received some cheques from the insurance which pays to the estate. Unfortunately hospitalization premium plans does not have an option nomination and the insurance refunds the prorated amount to us.

What I know is that to encash the cheque I need to open an estate account with the bank and this will require LOA (Letter of Administration). I was told that once we file a LOA, most likely the banks will be informed about the demise and accounts will be frozen - including joint accounts and everything will go into estate. Want to check if anyone knows if this will be the case?

I have tried to withdraw mostly from the savings accounts however there is also a joint fixed deposit. Understand from the bankers that if we withdraw the FD/SD before the maturity date, we will not be guaranteed the capital return.
Really contemplating whether I should go ahead to file LOA or just forget about cashing out that cheque.

It's not a very complicated process if done through an experienced lawyer (PM me if need contact)

When there is a potential conflict of interest from "a suggestion", always DYODD (do your own due diligence)!

Get educated/understand the law when there is a will and when there is no will, what assets dun need a will or lawyer to help you cash out, etc

Why do people have joint accounts? One reason is upon death of one party, the other have rights to cashout without need for a lawyer, contesting the survivorship rights is another matter. As joint account holder, you can cash out any time, banks will usually prorata the interest due on quarterly basis at board rate, you weigh your loss of interest vs peace of mind with money in your hands anytime to use. (My dad told me to cash out FD, I told him will lose interest, he said dun be penny wise pound foolish, before he died).

Cheques normally have a validity of 6mths, so take your time to sort out his assets, what needs lawyer and what dun.

 

[CrashWire]

Just to share for my own dad case. Situation is not similar and we need to get a letter of probate which cost a few hundred bucks! He died a poor man so total savings account monies come out also not much. So we drag to get that letter of probate for a few years. Why we finally get it is my mum go approach MP seeking a waiver or discounted probate.

The MP didn't recommend that you go through the Public Trustee instead?

https://pto.mlaw.gov.sg/deceased-cpf-estate-monies/information-for-next-of-kin-estate-monies/

Cheques normally have a validity of 6mths, so take your time to sort out his assets, what needs lawyer and what dun.

Also: cheques, especially from our local insurance companies, can usually be reissued if the first one wasn't cashed before expiry.

 

[sohguanh]

but how to know when will I die. scare spend finish liao still alive

This require planning. If you are sick it is quite easy to plan. If accident then is totally unexpected then just curse your luck no good.

 

[sohguanh]

The MP didn't recommend that you go through the Public Trustee instead?

I was not with my mum she ownself go. Why we (brother and sister) drag is inside not much monies and we all got earn enough of our own monies so no need dad monies but she want a proper closure for all financial related so let her do lor.

Inside indeed left a few hundred split among children not much so my share give to my daughters I got my own leg and arm I no need dad dead monies.

 

[reddevil0728]

This require planning. If you are sick it is quite easy to plan. If accident then is totally unexpected then just curse your luck no good.

so no planning is perfect right. so is not like get to choose

 

[sohguanh]

so no planning is perfect right. so is not like get to choose

Today idle so entertain. Plan in such a way you spend near to say left a few hundred. If say use finish not yet die then get from offspring. They don't give sue them to court using Parents Maintenance Act. For accident is really unexpected can only curse your luck no good left so much give offspring shiok.

 

[kenvup]

Hi guys, my dad recently passed away. However, we received some cheques from the insurance which pays to the estate. Unfortunately hospitalization premium plans does not have an option nomination and the insurance refunds the prorated amount to us.

What I know is that to encash the cheque I need to open an estate account with the bank and this will require LOA (Letter of Administration). I was told that once we file a LOA, most likely the banks will be informed about the demise and accounts will be frozen - including joint accounts and everything will go into estate. Want to check if anyone knows if this will be the case?

I have tried to withdraw mostly from the savings accounts however there is also a joint fixed deposit. Understand from the bankers that if we withdraw the FD/SD before the maturity date, we will not be guaranteed the capital return.
Really contemplating whether I should go ahead to file LOA or just forget about cashing out that cheque.

Noob question - why not open a new estate account with another bank with no previous connections so as to avoid disturbing existing arrangements? Or are banks in SG sharing so much customer info with each other?

 

[BBCWatcher]

what if you need more than escalating life annuities?

I don't think I understand your question. If the quantum is big enough and the escalation (slope) is reasonable then what more would you need financially?

 

[reddevil0728]

Today idle so entertain. Plan in such a way you spend near to say left a few hundred. If say use finish not yet die then get from offspring. They don't give sue them to court using Parents Maintenance Act. For accident is really unexpected can only curse your luck no good left so much give offspring shiok.

If you treat this as entertain then just gotta be careful with what you say. Because that can be dangerous. If you treat this as a respectful conversation. Then should be ok.

actually even if you leave behind a lot of money, you are dead already, they want to fight or don’t want to fight is their problem right? Since dead people cannot care at all.

I don't think I understand your question. If the quantum is big enough and the escalation (slope) is reasonable then what more would you need financially?

How about in the case of unexpected need for more money?

 

[blurpandasg2014]

Noob question - why not open a new estate account with another bank with no previous connections so as to avoid disturbing existing arrangements? Or are banks in SG sharing so much customer info with each other?

Won't share. I opened estate with ocbc and the monies in posb not affected. Once get probate or LOA can close posb to get cheque and deposit into ocbc

 

[henrylbh]

Hi guys, my dad recently passed away. However, we received some cheques from the insurance which pays to the estate. Unfortunately hospitalization premium plans does not have an option nomination and the insurance refunds the prorated amount to us.

What I know is that to encash the cheque I need to open an estate account with the bank and this will require LOA (Letter of Administration). I was told that once we file a LOA, most likely the banks will be informed about the demise and accounts will be frozen - including joint accounts and everything will go into estate. Want to check if anyone knows if this will be the case?

I have tried to withdraw mostly from the savings accounts however there is also a joint fixed deposit. Understand from the bankers that if we withdraw the FD/SD before the maturity date, we will not be guaranteed the capital return.
Really contemplating whether I should go ahead to file LOA or just forget about cashing out that cheque.

When was your dad's passing? Firstly, how much is the insurance payout so that you can consider LOA is worth applying, if that's the only assets. Also determine whether you can singly cash out the joint FD account prematurely or when it matures. Next ascertain what other assets of the deceased need LOA, eg sole bank account, CPF shares or shares in private entities like NTUC, club membership, insurance policies, safe deposit box, deposits with teco and utilities etc in his name and any other assets in his name or like me have 2 savings accounts in JB and NTUC shares.

If his estate value is below $50k, go public trust. Depending on the value of the estate, going lawyers may be sometimes be cheaper, like $900 all in.

Does not mean once LOA is issued, the banks will be informed and all accounts freezed. Open estate account with other bank in which your dad do not have dealings. Dont close any joint accounts unless no use to keep. The bank will never know when an account holder is dead, unless someone present the death certificate. I still have joint account with my father who died 5 years ago.

 

[henrylbh]

For those who attempt to self draft a will that is thumb printed by the testator, please ensure that there is an attachment to indicate that the will has been fully explained and understood by the testator. Also note that most lawyer will not be prepared to draft a will when the testator is an elderly unless the testator is lucid and present a medical certificate.

I prepared a will lacking the above mentioned attachment, on behalf of my aunty who was 90+. Not only do I have to give an affidavit explain why it was thumb printed, both witnesses were also requested to give affidavits. Thank goodness, the affidavits were accepted by the court. But the lawyer would charge extra, if the initial fee quoted was a bargain. The attachment is necessary as long as the will is thumb printed.

I brought my father who was near 90 to see a lawyer. After few words with my father, the lawyer turned down my request

 

[BBCWatcher]

How about in the case of unexpected need for more money?

Three basic solutions, not mutually exclusive:

1. You'd insure against certain risks (in addition to longevity risk).

2. The total quantum of life annuities would be big enough to cover such contingencies.

3. You keep a contingency fund on hand. (But still give away the rest as soon as possible.)