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Preserve it and save: how conditional exemption can protect your heritage... and your wallet
Charles Richardson
I recently appeared as a guest on Radio 4’s Money Box, with Paul Lewis, discussing the issues faced by deputies when trying to access and manage bank accounts for those who lack capacity.
Use the link below to listen to the full episode.
Listen to the full episode here
A deputy acting under a Court of Protection Order is required to manage the financial affairs of those who they are appointed for. Whether they are a lay deputy, acting for a friend or family member, or a professional acting for their clients, the same issues arise when faced with trying to access bank accounts.
Through vast experience, it is apparent that many high street banks are not fully prepared to handle the increasing number of deputyship appointments. It seems that they have not fully grasped the complexities of the Mental Capacity Act 2005 and the requirements placed upon a deputy, who will be supervised by the Office of the Public Guardian. Banks are often well versed in dealing with attorneys acting under a Lasting Power of Attorney, or the previous Enduring Power of Attorney, but have no idea what a deputyship even is. Even when basic knowledge of a deputyship appointment is there, the processes in place to register, gain access and manage accounts are slow and clunky.
Most banks will require the deputy to attend a branch in person to register the deputyship. However, on attending a local branch, deputies are met with long waiting times, last minute cancellation of appointments and tellers/staff that lack the training to be able to understand what you are asking of them or provide the right information. It can take multiple visits to a branch, phone calls, letters and weeks (if not months) for the request to be completed.
Despite being registered on an account, trying to undertake simple tasks, such as internet or phone banking, is made almost impossible. Deputies met with constant restrictions to access or information because say, the Order has not uploaded to the correct system or their systems have not been updated with the correct information. This list of excuses is endless.
Even more concerningly, banks seem to have a number of blanket policies in place for when an account has been registered under a deputyship. A few examples being; the cancellation of existing debit or credit cards, putting freezes and blocks on accounts and cancelling existing Direct Debits and Standing orders. This can lead to the account holder having to go without access to funds and basic amenities.
Although these measures may be put in place to help protect people from financial abuse, there seems to be a lack of common sense in their approach that often causes further harm and stress to an already vulnerable person and to those trying to manage their affairs on their behalf.
For those acting as a deputy, there are a few steps that can be taken to potentially help speed up the process:
- Before attending a branch to register a deputyship, book an appointment and ensure that details are given as to what the appointment is in relation to
- Take all necessary documents with you to the first appointment; including an original copy of the Deputyship Order, original copies of your (the deputy) proof of address and ID
- Take copies of all correspondence you have had with the bank prior to the appointment (if you have any)
- If you are registering the deputyship appointment via post, call the bank before sending the letter to request the correct address. Some banks will have specific teams who handle these matters. If a letter is sent to a general address, it will generally be ignored
- If you have specific instructions for the account; such as the need for internet and phone banking, requests that debit cards, Direct Debits and Standing Orders remain active, or that you wish to restrict access, make sure these are set out clearly at your meeting or in writing.
If all of this fails and you continue to have difficulties when dealing with banks, raise a complaint with the bank directly. If this does not provide a satisfactory result, a complaint can be raised with the Financial Ombudsman.
In spite of these difficulties, the team at Kingsley Napley LLP strive to manage our client’s affairs as efficiently and effectively as possible. This includes raising awareness of these issues in the hope that more training will be provided, and processes improved, to ensure vulnerable clients are not left in an even more vulnerable position.
further information
Should you require assistance or have queries please contact Lauren Eyre or a member of our Court of Protection team.
about the author
Lauren joined Kingsley Napley's Court of Protection team in 2017, she deals with the management of deputyships, with a focus on clients diagnosed with dementia and those that have suffered medical negligence resulting in serious brain injuries and long term impairments.
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We welcome views and opinions about the issues raised in this blog. Should you require specific advice in relation to personal circumstances, please use the form on the contact page.
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