What happens to money in a Cash ISA if the account holder has passed away?

The account will continue to be an ISA until:

• The executor closes it
• The administration of the deceased’s estate is complete
• The third anniversary of the date of death

If an account holder passed away prior to 06 April 2018, their ISA ended on the date of death.

Additional Permitted Subscription Allowance

From 3 December 2014, where a customer who holds an ISA dies, their surviving spouse/civil partner is eligible to invest an Additional Permitted Subscription Allowance to an ISA in their own name in addition to their own personal annual allowance.

This is not dependent on inheriting the actual money in the deceased’s ISA. That follows the normal estate process.

The Additional Permitted Subscription Allowance equals the higher of:

• The value of the deceased’s ISA(s) at the date of death
• The value of the deceased’s ISA(s) when they are closed (or cease to be an ISA)

If the account holder passed away between 3 December 2014 and 5 April 2018, the Additional Permitted Subscription Allowance equals the value of the deceased’s ISA(s) at the date of death.

To see our latest Additional Permitted Subscriptions ISA offering please click here.

If you would like to find out more about the Additional Permitted Subscription Allowance, please call our Customer Service Team or contact your local branch.