Skip to main content

 

 

CXone Expert Clone Site 014

Registration of a Bereavement - MOT

  1. Last updated
  2. Save as PDF

Contacts

Related

Show me

Guides

Overview

Information and guidance on the registration of a bereavement.

Background

  • The registration of a bereavement takes place following receipt of acceptable evidence of death, and when we've successfully identified and verified the deceased customer's representative.
  • In every case, the notification of a bereavement must be completed before the death is registered.
  • Use PEGA to register the bereavement. This hands off all cases to the Bereavement Unit, so during the registration, information is taken to allow the Bereavement Unit to complete the administration of the case.
  • Any accounts held in the Isle of Man, Jersey, or Guernsey and Alderney will automatically be handed off to the Islands Bereavement Team following the registration.

Who can Register the Death

  • An Executor where a Will is in place.
    • If there's an Executor, they must register the death. The next of kin may be named as the Executor, we don't need to see a copy of the Will as evidence.
  • If a Will doesn't name an Executor, then the person entitled to apply for a Letter of Administration under intestacy, needs to apply for this but follow the wishes of the Will.
  • If the deceased didn't leave a Will, see below:
    • Immediate Next of Kin (NoK), these must be considered in order. See for the  Signing Rules for Intestacy Cases process flow.
    • Another party, where a customer's legal next of kin doesn't have mental capacity.
      • A Letter of Administration is needed to complete the bereavement process.
    • Remaining account holder, where there's only joint accounts held.
      • Registration can be taken regardless of relationship.
    • A solicitor or third-party company acting on the behalf of the deceased.
    • Parent/guardian of the next of kin and the next of kin is:
      • Under 18 in England and Wales.
      • Under 16 in Scotland. 
    • Where cases meet one of the following criteria, registration can, in exception, be taken from another next of kin. For example, if a son registers the death of a father because the mother is unable to register, then funds can only be paid to the mother as NOK. See  Signing Rules for Intestacy Cases: 
      • Are only joint accounts, includes mortgages.
      • Payment is to be made to the NoK or beneficiary
        • Grant of Probate (GoP) limits for the NoK apply.
        • Add a case note so MBU know why registration wasn't completed by NoK.
      • GoP is needed.
      • No funds to be paid out, for instance, a zero-balance credit card

Initial Checks

Documentation Requirements including Verification, Evidence of Death & Grant of Probate

  • To register a bereavement, you must always verify/ complete security with the representative and see acceptable evidence of death, see Acceptable Documentation and Identification when Registering a Bereavement. Except for the following:
    • Verification - Branch and Moment Of Truth (MOT) won't need to verify/ complete security with a representative if the deceased customer held only joint accounts/products, or when there's a zero balance across all sole accounts within Lloyds Banking Group.
  • Where dual roles are held, for instance the Next of Kin is also the executor, the greater amount allowance takes precedent.
  • The following MOT requirements are also applicable for Remote Advice cases.

Documentation Requirements:

Document required by Manchester Bereavement Unit (MBU)
Manchester Bereavement Unit (MBU) Document Requirements Collective sole/joint accounts including mortgages, credit cards, loans, and overdrafts. Collective sole/joint accounts including mortgages, credit cards, loans, and overdrafts.

SRA Regulated Solicitors, CILEX, CLC and Institute of Chartered Accountants.

STEP (Society for Trust & Pensions) and ACCA Accountants.

Non-regulated third parties such as Heir Hunters, Will, and Probate companies.
  Total balance: Under £2,000 credit or under £1,000 debit. Total balance: £2,000 and over credit or £1,000 and over debit.  

Evidence of Death

 

Exceptions: If it's a foreign death certificate a copy of this is always needed.

No 

Verbal Death Certificate information to be provided:

  • Death Certificate number
  • Registration District
  • Registrar name.

Yes

 Yes

Signed Bereavement Form

 

Exceptions:

Verbal payment instructions and funding declaration will replace any prior request for a bereavement form to be completed by MBU. This is regardless of the value in the account, including GOP cases, if you've added a note to confirm that you've read the funding declaration.

No

Yes - Unless joint account only or the exception can be followed.

 Yes

 

Grant of Probate - collective sole accounts only at notification:

  • GoP is based on the balance, as at the date of notification.
  • If the payment of expenses such as the funeral bills brings the balance below the limit GOP is still needed.
Person/ Persons Needed
Spouse/ Executor Yes - £50,000 and above.
Next of Kin - other Yes - £25,000 and above.
SRA Regulated Solicitors, CILEX, CLC, and Institute of Chartered Accountants Yes - £175,000 and above 
Society for Trust & Pensions (STEP) and ACCA Accountants. Yes - £50,000 and above
Non-regulated third parties such as Heir Hunters, Will, and Probate companies Yes - All cases

 

Completing the Registration

Step Action
1

Ask the representative if there's a Will:

  • If there is a Will, ask the representative if they're named as an Executor within that Will to register the bereavement - we don't need to see a copy of the Will to deal with the deceased customer's accounts or registration:
    • Not named as an Executor:
      • Say that a named Executor needs to contact us to register the bereavement.
    • Named as an Executor:
      • Before you carry on with the registration ask if the representative needs any help or guidance in dealing with the estate, such as applying for probate. If ‘yes’ the representative should be referred to the Estate Administration Service (EAS) at the end of the registration appointment and a note added to PEGA.
      • You must then book an Estates Administration appointment, see   Book, Amend or Cancel an Appointment. and   Estate Administration Service.
      • The service is available to Lloyds Banking Group (LBG) and non LBG customers - there is no requirement to bank with us.
      • Only select Yes in PEGA to question: Would the informant like someone from our specialist Estate Administration support team to call them to discuss what help they can provide in dealing with the estate, such as applying for probate? If you've identified a probate need, and the notifier is aware that they'll receive a call.
      • Do not select Yes if there is a professional such as solicitor already dealing with the estate, as we are unable to provide support.
    • Bank is named as Executor:
      • If the notifier says that 'Yes' the bank is named as Executor, the EAS will be notified automatically and will begin work to deal with all matters relating to the deceased.
      • In PEGA you must select Yes to question: Is the bank named as one of the executors on the will?
      • A mandatory handoff to the EAS either by phone or email see  Estate Administration Service (EAS) - all brands. 
  • If there isn't a Will, we need to understand who should be the primary representative and sign the Bereavement Summary form, refer to the  Signing Rules for Intestacy Cases.
2

When asking the representative 'Is there a solicitor dealing with the estate?' in PEGA, only enter the solicitor's details in PEGA if:

  • The solicitor is dealing with Lloyds Banking Group products on behalf of the representative and
  • They want the correspondence and funds sending to the solicitor.
3
4
  • Ask for the bank account and personal details of the deceased, such as name, address, and date of birth.
  • PEGA will display all the accounts held by the deceased customer.
  • Consider all retail accounts held with Halifax, Lloyds Bank, Bank of Scotland, and MBNA when deciding what action to take.
5
  • As the representative has provided evidence of death or confirmed details from the death certificate including the Death Certificate number, registration district and registrar name and the rep confirms they have it to upload, you can discuss everything with them including accounts held - such as ISAs, debit balances, and mortgages.
    • When providing balances, only include the joint account balance up to the Date of Death (DOD) if you're not speaking to the surviving joint account holder. This balance doesn't make up part of the estate but may be needed for Inheritance Tax (IHT) information.
  • If there are any other non-standard banking products, see  Bereavement Notifications on Non Standard Accounts - MOT.
6
  • Send the 'Document Upload' link to the representative so they can upload all the relevant documentation, see  Bereavement Document Upload - MOT.
  • As a minimum this will be the Death Certificate or relevant evidence of death for aggregate balances over £2,000 credit or £1,000 debit, but may also include:
    • ID&V - if they have a passport/driving licence.
    • Grant of Representation.
  • Document Upload exception:
    • The representative is abroad, and their provider or mobile contract doesn't allow and/or blocks receipt of international calls.
    • The representative is housebound and doesn't have the facility to complete document upload or visit a branch to provide documentation.
  • In the above circumstances, ask the representative to send in the documents by post to the Bereavement Unit. See Bereavement Registration or, if the bank is acting as Executor, see  Estate Administration Service.
7
  • Complete all the relevant information within the bereavement PEGA application screens.
  • Make sure Data Privacy Notice scripting is read, if not already actioned, see  Mandatory Service Scripts.
  • Check funding declaration and, when appropriate, read out script, see  Mandatory Service Scripts. 
  • To make sure that back office can process the case in a timely manner and identify the case has been registered by MOT, best practice is to note this in the final PEGA note section before submitting your case.
  • You may wish to use the below templates:
    • ‘Funding Declaration Read to Exec/Nok & Payment instructions taken …. (provide account number and sort code if follow up call and note is being added on to PEGA on a follow up call)’ - (INITIALS/MOT)
    • ‘Payment instructions not taken on registration call due to (provide rationale of the exec e.g. needing to set up executor account) funding declaration completed with rep as balances are over £2k’ - (INITIALS/MOT)
8
  • Select the preferred method of payment:
    • Payments can't be made to:
      • An ISA.
      • More than one account.
      • Accounts with Chase Bank.
    • Payments can be made to the Representative's account or paid to a third party on the instructions of the Representative, as long as the Representative has been verified and the funding declaration has been read to them. However, only one sort code and account number can be taken for the payment to be made. Or, if it meets one of the exceptions within the ‘Who can Register the Death’ section. For example, if a son registers the death of a father because the mother is unable to register, then funds can only be paid to the mother as NOK.
      • Internal transfer - If the payment is to be made to a Halifax, Lloyd's Bank or Bank of Scotland account.
      • CHAPS - If the payment is to be made to any other external company account - there's no charge applied for this.
      • Cheque - This should only be offered if the other options aren't available.

    • If the representative hasn't decided how they would like the funds or they need to open an executor account. Add a note to confirm that the representative will provide at a later date, otherwise, the representative will be sent a cheque.

    • If a payment is to be made to an international account:

      • Tell the representative that the Bereavement Unit will send out a form for them to be complete.
      • Add case notes so the MBU team know there's an action to complete. 
9 Withdrawals aren't permitted with the exception of paying for funeral expenses, probate fees, inheritance tax and repatriation expenses see,  Pay Funeral Bill/Expenses or Request Refund of Probate Fees/Inheritance Tax - MOT.
10

Bereavement PEGA will always ask if the representative believes we're holding an item in safe custody for the deceased customer.

  • Is there a 035 indicator?

Step Action
1 Answer 'Yes' if the representative has supporting information or genuinely believes we're holding an item in Safe Custody.
2 Add a rationale in the ‘Any other comments about the Safe Custody item' field, such as item contents and previous holding branch.
3 Read out the Safe Custody information as prompted by PEGA.
4 Make it clear that we’ll be in touch as soon as we've any information about the Safe Custody item.
5 For items of intrinsic value, the Bereavement Unit will tell the representative that Grant of Probate/Letters of Administration are needed before the Safe Custody item can be released.
6 Tick the boxes to confirm you've covered this information with the representative.
7 PEGA automatically hands off to the relevant team when you've completed/submitted the Registration. A separate request isn't needed. For more information, see  Deceased Customer - Safe Custody and  Bereavement PEGA Screens Impacted by Safe Custody.

Step Action
1 PEGA would've notified the relevant teams at Notification, check notes for any action taken so far. 
2 Read out the Safe Custody information as prompted by PEGA.
3 Make it clear that we’ll be in touch as soon as we've any information about the Safe Custody item.
4 For items of intrinsic value, the Bereavement Unit will tell the representative that Grant of Probate/Letters of Administration is needed before the Safe Custody item can be released.
5 Tick the boxes to confirm you've covered this information with the representative.
6 PEGA automatically hands off to the relevant team when you've completed/submitted the Registration. A separate request isn't needed. For more information, see  Deceased Customer - Safe Custody and  Bereavement PEGA Screens Impacted by Safe Custody.
11
  • PEGA hands the case off to the Bereavement Unit who'll manage the case and close the accounts, see Bereavement Unit Timescales.
  • PEGA shows you an 'on screen' view of the recommended next steps and actions you need to complete.
12 If the representative needs to take ID&V to the branch, add clear notes so the branch colleagues know what action is required when the representative arrives.
13
  • During the registration process, further supportive conversations may also take place.
  • A 'check in' with the representative(s) of the deceased customer can offer practical money management and emotional wellbeing support, this could include: 
    • Helping those who are new to dealing with their finances alone, with practical money management.
    • Refer to the Vulnerable Customer Support Tool which helps you identify support you can offer your customer.
    • Referring them to specialists where a need has been identified.
  • For more information on the part you play, refer to the Post bereavement customer check-in guide within the vulnerability hub.

Step Action
1
  • All registrations will come into the Bereavement Unit by PEGA. The registrations can come through the following channels but will all come into the same work basket within PEGA for the bereavement team to review. The registrations channels are:
    • Branch
    • MOT
    • Postal
    • Death Notification Service
    • Online Registrations
    • Reverse notifications.
  • Upon receipt of the case, if we haven't received a notification of death before the registration, the notification process should be followed to make sure the accounts are safeguarded, see  Notification of a Bereavement - All Colleagues.
  • Once the accounts have been safeguarded the bereavement colleague should look at the products held to make sure, where needed, any handoffs are completed.
  • The administration of the accounts can then be keyed and, where needed, the Bereavement Unit will write out or call the representative to ask for further documentation, or explanation, to proceed with the closure of the accounts held by the deceased.
  • In some cases, we'll need Grant of Probate/Certificate of Confirmation or Letters of Administration to close the account(s) held by the deceased, or to release or change an item, such as a mortgage, or Safe Custody item. Refer to section Probate limits.
  • Follow 'verifying' and 'Products' user guides to make sure all the action needed has been taken, and all the relevant information is given to the representatives in our letter.
2

Check if there's a Will. If there:

  • Is a Will, ask the representative if they're named as an Executor within that Will to register the bereavement.
    • If they say they're not a named Executor, say that a named Executor needs to contact us to register the bereavement.
    • If they say they're a named Executor within the Will, proceed with the bereavement registration.
    • If the bank is named as Executor in the Will, the representative should be referred to the Estates Administration Service, see  Estate Administration Service, who will deal with all matters relating to the deceased.
    • We don’t need to see a copy of the Will to deal with the deceased customer`s accounts or registration.
  • Isn't a Will, we need to establish who should be the primary representative and sign the Bereavement Summary form, refer to the  Signing Rules for Intestacy Cases.
3

Identify and verify the representatives:
4
5
  • Ask for the bank account and personal details of the deceased, such as name, address, and date of birth.
  • PEGA will display all the accounts held by the deceased customer.
    • Consider all retail accounts held with Halifax, Lloyds Bank, Bank of Scotland, and MBNA when establishing what action to take.
6
7
  • Send the 'Document Upload' link to the representative so they can upload all the relevant documentation, see  Bereavement Document Upload - MOT.
  • As a minimum this will be the Death Certificate or relevant evidence of death for aggregate balances over £2,000 credit or £1,000 debit, but may also include:
    • ID&V
    • Grant of Representation.
8

Common Registration Questions

  • Representatives can register a customer’s death online.
  • They'll be able to complete an online registration form, which allows them to inform us of a customer’s death, give details of the Executors/representatives, and confirms any payment instructions.
  • Tell the representative:
    • How to find the online form:
      • Lloyds Bank: Help and Support, Life events, Bereavement.
      • Halifax: Help Centre, Support and wellbeing, Bereavement.
      • Bank of Scotland: Help Centre, Support and wellbeing, Bereavement.
    • Bereaved online registration journeys have a document upload capability. This allows the representative to directly upload supporting documents to the bereaved online registration form.
    • A PEGA case is created once the representative sends the online form, which goes to the Bereavement Unit to action, see Bereavement Unit Timescales. 

If a representative calls with a question about their online registration, or the document upload failed, complete the following steps:

Step Action
1
  • Check customer notes to see whether a case has been received.
  • You'll be able to view details of the registration in customer notes, or accredited colleagues can view all notes and documents within the PEGA application.
  • The online G-Form completed by the representative replaces the need for a bereavement form for online registration cases.
2 Check if documents or ID&V are needed, see  Acceptable Documentation and Identification when Registering a Bereavement.
3
  • Check if a PEGA case is recorded, upload the documents to the PEGA case using Document Upload then proceed to step 4.
  • If there's no record of a bereavement, complete notification of a bereavement, see  Notification of a Bereavement - All Colleagues.
4 The case is dealt with by the Bereavement Unit. Inform the representative of the timescales. see Bereavement Unit Timescales.
Bereavement Unit Only If we receive an online registration from a solicitor and we're able to close at first point of contact, we do have to issue date of death balances, tax certificates, or statements at closure.

  • If a person dies without making a valid Will, they're said to have died intestate. The estate is distributed according to the statutory rules, known as the Rules of Intestacy. 
    • To establish who should be the primary representative and sign the Bereavement Summary form, refer to the  Signing Rules for Intestacy Cases.
    • For more information, refer to 'Intestacy - who inherits if someone dies without a Will' on the www.gov.uk website.
    • We need one signature on the Bereavement form, regardless of the number of Executors/representatives.
  • If the case is intestate and:
    • It's not possible to find out any Next Of Kin (NOK)/personal representatives, for example a partner calls to say they're only NOK and are entitled to the funds:
      • Complete the registration in PEGA. If the collective balance is under £25,000, you won't need to discuss Grant of Probate/Confirmation. Once MBU have investigated and are satisfied we're dealing with the correct representative, they'll request this information.
      • Add notes on the case detailing what was discussed making clear that the representative isn’t the genuine NOK.
    • The representatives would like support in dealing with the estate, the case can be referred to the Estates Administration Service:
      • Tell the representative you can call them now or arrange for them to call the representative at a more convenient time within business hours, see  Estate Administration Service.
  • If any queries are received from customers asking who'll receive money from their estate after their death, the customer must be referred to a solicitor or if in Scotland, the Sheriff Clerk at the local Sheriff Office.

  • You don't need to remove the dormancy 615 indicator, complete the registration as normal.
  • The case is handed off to the Bereavement Unit where they'll contact the representative and manage the case.
    • For joint accounts, the Bereavement Unit removes the deceased customer as part of their process but won't remove the dormancy indicator. The surviving account holder needs to take ID&V to branch to arrange for the dormancy indicator removed. See  Acceptable Branch ID - New Customers.

  • Check that Notification of a Bereavement - All Colleagues. has previously been completed for both parties and the 011 indicator has been applied to both of the deceased customers' profiles.
  • Ask the representative which party to the account died first and explain this information is needed for settlement of the estates.
    • If they died together, the eldest of the deceased parties would be deemed to have died first.
  • Complete the bereavement process as normal in PEGA, the case is handed off to the Bereavement Unit, see Bereavement Unit Timescales.

Complete registration with NOK/representative and make clear in notes that the sole executor named in the Will has died. Grant of Probate may be needed, but the Bereavement Unit will pick the case up and take the relevant action needed.

Step Action
1 Complete registration as normal.
2 Add customer notes.
3 Send an email to $Chester Bereavement Team to say that the customer has died.

Give correspondence address, found within Bereavement Registration contact, see  Bereavement Registration.

If the attorney has a card and a donor passes away, check which profile the attorney’s card has been ordered on. If it's the deceased donor, then the attorney's card becomes invalid on the registration of death, and a new card needs to be ordered on the surviving donor/customer's profile. See  Representative Access Registration - MOT.

England and Wales:

  • We'll accept registration from an Attorney (PoA) if a sole executor has lost mental capacity, if an ‘Enduring’ or ‘Lasting’ POA is registered on our system or given to us along with the death certification and identification.
  • Funds must only be paid to the beneficiary and not the acting Attorney.
  • The attorney may not act where there are other executors appointed.

Scotland:

  • We can't accept registration from a PoA acting on behalf of the executor/NOK due to incapacity.
  • A court appointed guardian may be able to act depending on their powers.
  • The attorney should seek their own advice, we can't give specific advice.

See  Death of a Representative on an Account.

Any call from an Heir Hunter company must be told to send their request in writing, see Bereavement Registration for the address.

  • If a SN19 is showing on a deceased customer’s account, you have to remove the SN19 to commence the bereavement registration process. See  Removing an Indicator on PBS.
  • If there's any other Service Need or indicators present on the account, see  Account & Customer Indicators.
  • Check PBS/RMS notes where possible, to establish if the block has been loaded against the personal or business account.

Personal Accounts

If notes are added to the personal account or there are no notes under either the personal/business account, remove SN19 on PBS. Follow the process as mentioned above - Completing the registration - MOT Colleagues.

Business Accounts

  • If no personal accounts are held or a note is added under the business account, complete a cold transfer to  Service Need Indicator 19 (SN19) Commercial - Lloyds, Bank of Scotland.
  • Below is an example of the note that will be added to the business account: 'SN19 added by Commercial Fraud. Telephone Banking Channel Unavailable. Internal use only: Please complete a cold transfer to 5111525'.

  • If an executor doesn't want to act, they can resign/renounce. However, they can only do this if they haven't started to deal with the deceased’s estate.
  • The bank can't assist with this and the executor(s) should seek their own advice such as from a solicitor or Citizens Advice.
  • They should consider the position carefully, especially if there are no other executors who can act.

Guidance on Products Held

  • If date of death was the 6 April 2018 or before, the ISA will be closed and transferred to a non-ISA account where funds aren't being transferred directly to the estate.
  • If the date of death was after the 6 April 2018, the ISA may stay open until the estate closes or the third anniversary of the death of the customer.
  • For ISA Additional Permitted Subscriptions (APS) allowance, see  Additional Permitted Subscriptions ISA Process Overview - MOT.
  • If Bereavement PEGA identifies that an ISA Stocks and Shares is held, PEGA will hand off to the relevant business area once registration is complete. Tell the representative the business area will contact them within 10 working days to confirm next steps.

Refer to 'Exceptional Circumstances' section on  Junior ISAs.

If the surviving account holder requests the joint bank account to be downgraded, register the bereavement before completing a warm handover to Tier 2 to process the downgrade. Tell the customer as the removal of the second party is still in progress, any documentation issued following the downgrade may still be in both names. Alternatively, the customer can call back or downgrade online once the party has been removed. 

  • Our administration team will remove the deceased’s name from the account, following the bereavement registration. The Bereavement Unit then sends a letter to the surviving customer to say this has been actioned, see Bereavement Unit Timescales.
  • Tell the surviving customer they must visit a branch on receipt of this letter to order a new passbook in their sole name.

When the account is changed to a sole name, the cheque book will also be updated, and a new one sent out.

Complete the bereavement registration as normal on PEGA. PEGA hands these off to the Bereavement Unit who will deal with these accounts, see Bereavement Unit Timescales.

  • If the parent/guardian died:
    • They'll be removed from the account, by the Bereavement Unit. The account will then continue in the sole name of the child.
    • A letter is issued to confirm this to both the representatives and the child to confirm a new legal guardian can be added to the account if needed. 
  • If the child has died:
    • The Bereavement Unit closes the account and releases the funds to the representative as per their closing instructions.
    • The account must not stay open in the sole name of the parent/legal guardian

  • The lending discussion only applies where the unsecured borrowing is in a sole name.
    • If the borrowing is a loan in joint names, tell the representative that they'll continue to be jointly liable for the borrowing, and the loan will stay in joint names until the loan if fully paid.
  • For credit cards with a zero-balance, PEGA  automatically hands the case off to the Bereavement Unit to close the credit card.
  • Representatives aren't personally liable for the debt, so you’ll need to assess whether there are means to pay it off either partially or in full.
Step Action
1
  • When discussing the outstanding debit balance of a sole borrowing with a representative, this must be positioned correctly and approached in a sensitive way.
  • Check that the representative is comfortable to discuss the debit balances at this point:
    • If they are, proceed to step 2.
    • If not, confirm that the Bereavement Unit will write to them to address this, see Bereavement Unit Timescales.
2
  • As the estate of the deceased is jointly liable for the debt, you'll need to assess whether there are means to pay it off, either partially or in full:
    • When assessing ability to repay, you can consider any credit balances held in accounts within the individual brand.
    • Confirm the amount outstanding on the credit card, loan, or overdraft and the amount available in any banking and savings accounts. This won't account for any pending payments or earmarked funds.
    • If dealing with an overdraft, where the available credit balance is in sole accounts of the same brand, explain that we'll automatically ‘set off’ the debit balance.
    • Explain that, before any funds are taken for repayment of borrowing, any important payments such as a funeral bill or inheritance tax can be settled. See  Pay Funeral Bill/Expenses or Request Refund of Probate Fees/Inheritance Tax - MOT.
    • Ask if there are any important payments to be made from the account. Make sure the details are added to notes if these aren’t paid as part of the interview, for an example, the funeral bill. 
  • If there are funds available to repay or partially repay the debt, and the representative agrees to repay these:
    • Confirm that we'll either partially or fully set off the debt using the credit balance available and write off the rest, if partial.
    • Confirm that the Bereavement Unit will action as agreed and write out to confirm.
    • Add a note in the 'Free Format box' in PEGA and Customer Contact History (CCH notes), to confirm that the representative has given consent to repay or partially repay the debt.
  • If there are insufficient funds or the representative doesn’t agree to repay:
    • If we've confirmation that there are no funds in the estate to repay the outstanding balance, the Bereavement Unit will arrange for any sole debts held by the deceased to be written off and will issue a letter to inform.
    • If we need confirmation on whether there are funds to repay the debit balance, the Bereavement Unit will write out to the representative to confirm the balance and inform next steps.

Explain to the representative that we can see there is a mortgage on the account and that the Bereavement Unit will write out within the next five working days to confirm next steps.

Topic Information
Mortgage Payments
  • For deceased sole customers, the monthly Direct Debit would have been cancelled upon notification. An Executor/representative has no legal requirement to continue paying a mortgage.
  • For joint customers, the Direct Debit won't be cancelled, so payments will continue to be collected but, if the payment is made from a sole account in the name of the deceased, this will be stopped. Another arrangement will need to be made.
    • If the representatives or joint account holder wants to continue to make payments, they can.
    • Monthly payments and interest will sit on the account in the form of an outstanding amount, commonly referred to as arrears.
    • They may receive letters about this as the Financial Conduct Authority (FCA) require us to write and let them know when the account is in arrears.
    • If the representative, or joint account holder, can't make payments or have further queries, contact  Mortgage Servicing.
Options for the Beneficiary
  • Beneficiaries can choose to pay off the mortgage using funds from life insurance, proceeds from the sale of property, funds from the estate or their own money, if they choose to.
  • If the mortgage is in the sole name of the deceased or the property is owned as tenants in common, they can complete an application for a new mortgage or remortgage in branch or over the phone once Grant of Probate/Confirmation is received.
  • For joint tenants, the Bereavement Unit will have the mortgage transferred to the sole name of the surviving customer.
  • The representative doesn't need to make any decisions about this immediately but, if they've already done so, document what they've told you by adding a note in the 'free format box' in PEGA.
  • If the representative or joint account holder has further queries, contact Mortgage Servicing.

  • The following Non-Personal Accounts will show on PEGA. Complete the registration as normal. PEGA automatically hands these off to the relevant business area.
  • There may be instances when all non-personal accounts don't show on PEGA, these are picked up in the back office so there's no need to take any additional action. 
    • Business Banking Accounts
    • Life Pension and Insurance (LP&I)
    • Insurance
    • Share Dealing
    • Private Banking.
  • Tell the representative the business area will contact them within 10 working days to confirm next steps.

If Home Insurance products are identified:

  • Once Registration is sent, PEGA  automatically hands off to the Home Insurance team for them to contact the representative.
  • Make the Representative aware that the Home Insurance team will contact them. No further action is needed.

  • Don't raise the bereavement on the parent's profile, as it will mark the parent as deceased.
  • Soft searching the child's details should bring up a profile for them. This is where the bereavement should be raised.

Further Guidance

  • For a full glossary of the bereavement-related terms and definitions, refer to the appropriate Bereaved Support Guide:
    • Lloyds Bank: Help and Support, Life events, Bereavement.
    • Halifax: Help Centre, Support and wellbeing, Bereavement.
    • Bank of Scotland: Help Centre, Support and wellbeing, Bereavement.
  • For support on other bereavement case queries, see  Existing Bereavement Case Queries - MOT.
  1. Back to top
  • Was this article helpful?

Recommended articles

  1. Page type
    How-to
  2. Tags
    This page has no tags.