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Managing a deceased estate

It can be a difficult time when someone close to you passes away. We’re here to support you to manage and finalise the BNZ customer’s estate.

If you’re the family, whānau, friend, or representative of the person, these are the steps involved.

This information is a guide, it doesn’t take into account your specific situation and isn’t financial or legal advice. If you’re unsure on anything, we recommend getting legal advice.

Step 1: Let us know about the bereavement

When you feel prepared to start the process, you can contact us through our online form.

You’ll need to provide the person’s:

  • full name
  • date of birth
  • date of death
  • street address (if known)
  • BNZ account number (if known)
  • any relevant documents you have i.e. a death certificate or will

Complete the form

Alternatively, you can contact us by:

Step 2: We’ll get in touch with you

Our Bereavement Operations team is set up to support you through this. Once you notify us, someone from the team will contact you.

We have a duty to keep our customer’s information confidential, even after their death.

  • If you’re family, whānau, or a friend, we’ll acknowledge your notification by emailing or writing to you, and will ask you to help us contact the solicitor/administrator/executor.
  • If you’re the solicitor/administrator/executor, we’ll email or write to you and provide a list of the accounts and/or services the customer had.

Information you might need to know

Freezing accounts

At the start of the process we’ll freeze the customer’s accounts, unless it’s a joint account. This means we’ll stop all direct debits, automatic payments, and freeze any debit and credit cards in their name.

Most of the time, this means the accounts can’t be used again, although you can still make deposits into frozen accounts.

Once the accounts are frozen, we can’t arrange payment of their bills, insurance, or any other expenses from the funds in the account. You’ll need to make alternative arrangements with each organisation directly.

Joint accounts

If you have a joint account with the person who has passed away, and the account is in credit, the funds will be transferred into the remaining account holder’s name(s). You’ll need to update the Account Operating Authority (AOA) so you can continue to use the account.

If there are two or more remaining account holders, the distribution of the funds can only be done when we receive written instructions from both/all account holders.

You’ll need to visit a branch to update any Account Operating Authority (the account number will be the same).

Joint credit card and additional cardholders

If you have a joint credit card with the person, you’ll need to transfer the card into your name. Then you can continue to use the card, according to our terms and conditions.

If you’re an additional cardholder, you won’t be able to use the card. We can review your requirements and you’ll need to apply for your own card.

Power of attorney

If you have signing authority (power of attorney) over the accounts of the person, all power and enduring powers of attorney stop from the date of death.

Life insurance

If the person had a life insurance policy previously provided by BNZ, contact Partners Life on 0800 808 648 to find out how to lodge a claim, or if you have any questions.

Term deposits

If the person had a term deposit, we’ll roll the existing term deposit for the same term and applicable rates until Probate is granted and/or we are instructed by the administrator/executor/solicitor.

You can’t move any funds from their accounts into a term deposit until the dispersal of the estate is finalised. This is to avoid possible tax implications and to make sure we meet our obligation regarding the dispersal of the estate.

Where the estate is more than $15,000

If the person’s estate total net exceeds $15,000 at the date of death, and there is a valid will, you’ll need to provide Probate or Letters of Administration.

Probate is granted by the Wellington High Court and confirms that the person’s will has been proved and registered in court, and that the right to administer their effects has been granted to the executor named in the will.

If there is no will, a will is invalid, or the executors appointed under the will have either passed away or are unable or unwilling to act, you’ll need to apply to the Wellington High Court for an ‘order to administer the assets of the estate’.

We’ll also require:

  • an original or certified copy of Probate or Letters of Administration (with or without a will annexed)
  • a letter signed by the executor(s) advising BNZ to pay the funds to a nominated account
  • certified valid photo ID and proof of physical address of the executor(s). More about ID requirements

Where the estate is less than $15,000

1. If no Probate or administrator is appointed

If the total net credit funds is less than $15,000 at the date of death and doesn’t include ownership of land or an interest in land, then a Deceased estates indemnity and claim form (PDF 86KB) can be completed.

Claimants who sign this form are declaring that they are not applying for Probate and/or Letters of Administration.

With this form, we’ll also need:

  • an original or certified copy of the will (if there is one) – note that only executors named in the will can claim
  • an original or certified copy of the death certificate
  • evidence of the claimant’s relationship to the deceased (e.g. marriage/birth certificate)
  • certified valid photo ID and proof of physical address of the claimant (spouse or otherwise). More about ID requirements

2. If Probate or administrator is appointed

If the total net credit funds is less than $15,000 at date of death and Probate has been granted, we’ll need the following:

  • an original or certified copy of Probate or Letters of Administration (with or without a will annexed)
  • a letter signed by the executor(s) advising BNZ to pay the funds to a nominated account
  • certified valid photo ID and proof of physical address of the executor(s). More about ID requirements

Where the person is not a New Zealand resident and has property in New Zealand

If the person who has died was a resident of a Commonwealth country or Republic of Ireland, and Probate or Letters of Administration have been granted in any place outside of New Zealand, the Probate or Letters of Administration granted outside New Zealand must be resealed in the High Court of New Zealand if:

  • they were a resident of a non-Commonwealth country, with an estate total net value of more than $15,000, then Probate or Letters of Administration must be applied for in New Zealand.
  • their estate total net value is less than $15,000, and Probate or Letters of Administration are not being obtained, then the normal rules apply and a declaration and a Deceased estates indemnity and claim form (PDF 86KB) needs to be filled out.

Paying funeral expenses

We can consider a request to pay for funeral expenses:

  • where the person who has died has funds of $15,000 or less in a BNZ account or policy
  • before Probate or Letters of Administration is granted
  • if the request is made before the funeral, by the person(s) who has the right to apply for Probate or Letters of Administration.

We’ll consider requests on a case by case basis. If we agree, we’ll make the payment directly to the funeral director on receipt of the invoice and debit the deceased’s account for the amount paid.

We won’t be able to pay for any other expenses, such as travel for relatives to the funeral.

More than one solicitor/administrator/executor

If there is more than one solicitor/administrator/executor, each can sign on the other’s behalf only if they’ve given their written authority for another to do so.

Every solicitor/administrator/executor must sign a Letter of Authority or an indemnity claim form to close a deceased’s account. If there’s only one signatory on the form, then we’ll need:

  • a signed letter from each solicitor/administrator/executor giving permission for the one signatory to act for them, and
  • copies of photo identification for each solicitor/administrator/executor with the letter.

Step 3: We’ll finalise the accounts and release the funds

At this stage, provided all the criteria has been met, we’ll close off the person’s accounts and/or services. We’ll release any funds via a direct credit to an account nominated by the administrator/executor, or the person’s solicitor.

We’ll also give the solicitor/administrator/executor a letter with the details of the finalised accounts and/or services.

Information you might need to know

Releasing the funds

The person’s individual accounts with the funds can’t be transferred into the beneficiary’s name. The account must be closed, and the funds transferred into another nominated account.

We can’t distribute funds to different beneficiaries’ accounts – we’ll only pay one lump sum amount to a nominated account.

Keeping the person’s estate going

If the solicitor/administrator/executor wants to keep the person’s accounts (estate) going:

  • they’ll need to open a new ‘Estate of’ account – this is a non-personal account run by the solicitor/administrator/executor of the estate
  • they’ll need to go in to a branch with the appropriate identification and Probate/Letters of Administration
  • if there’s more than one solicitor/administrator/executor, they all need to sign the Account Operating Authority.

If the person owed money

If there is an outstanding balance owing on a BNZ credit card or personal loan, we can deduct this amount from the funds held by the person to reduce or repay such debt.

For anything else, such as a home loan, we’ll work with the solicitor/administrator/executor to settle these, since each case is different.

For more information, please refer to section 5 of our Standard Terms and Conditions.

Insolvent estates

If the estate has more debts with BNZ than assets or funds, we’ll work with the solicitor/administrator/executor on the settlement of this.

If the person was a company director, trustee on a business account, or guarantor on an account

Contact us or visit a branch for more information.