Next of Kin does not automatically inherit bank accounts – BoG

The Bank of Ghana (BoG) has issued a notice advising the public to be cautious when choosing their next of kin, emphasising the importance of selecting someone who is not only of legal age but also capable of providing relevant information about the account holder when needed.

This advisory comes in response to what the Central Bank has identified as a widespread misconception—that the individual named as the next of kin on a bank account automatically inherits the account holder’s funds upon their death. The BoG clarified that specific legal steps must be followed for a next of kin to access the funds of a deceased account holder.

In a notice signed by Sandra Thompson, Secretary of the Bank of Ghana, it was explained that the next of kin must provide certain legal documents, such as a death certificate, letters of administration, or letters of probate, to access the deceased’s account.

“To inherit or have access to the account of a deceased customer, one must be named in the deceased customer’s will as a beneficiary of the account,” the notice stated. “A court of competent jurisdiction must then grant Letters of Probate to empower the named beneficiary to access the deceased customer’s account.”

In cases where the account holder dies intestate (without a will), the estate’s administrators can be appointed through Letters of Administration issued by a court. These letters grant the appointed administrators access to the deceased’s account.

The BOG stressed the importance of choosing a next of kin who can provide crucial information about the account holder if required. The statement advised, “As much as possible, we encourage the choice of next of kin to be of legal age and capable of providing relevant information about you when the need arises.”

This guidance aims to ensure that the handling of deceased individuals’ bank accounts is conducted according to legal standards and to prevent misunderstandings among the public regarding the rights and responsibilities of a next of kin. The Bank of Ghana’s clarification seeks to promote informed decision-making and proper estate management.