Regulatory Requirements on Banks for Joint Accounts Upon Death of One Account Holder

2 Ms Hazel Poa asked the Prime Minister and Minister for Finance (a) whether the Monetary Authority of Singapore has any directives or regulatory requirements that compel banks to close joint accounts upon being notified of the death of a joint account holder; and (b) if not, whether it can consider allowing banks to let surviving joint account holders, especially the elderly, retain bank account numbers after the death of a joint account holder.

Mr Gan Kim Yong (for the Prime Minister): The Monetary Authority of Singapore (MAS) does not stipulate whether banks must close joint accounts upon being notified of the death of one of the joint account holders. Some banks allow the surviving joint account holder to retain and continue using the joint account if the surviving joint account holder decides not to close it. Banks that require the joint account to be closed will assist the surviving joint account holder to withdraw or transfer the remaining funds. In either case, the surviving joint account holder will retain access to and control over the funds in the joint account.

MAS has been engaging the industry to consider whether banks' practices relating to post-death estate settlement, including the treatment of joint accounts, can be better harmonised and simplified.