Banks profit from bureaucracy that delays heirs from claiming inheritance

Dolores

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Feb 20, 2019
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Rulings in effect have resulted in a windfall in profits for banks. When a person dies unexpectingly, rulings order the person’s bank assets to remain frozen until the heirs comply with the legal and bureaucratic obstacles that prevent them from accessing the money.

The process of accessing these funds may be delayed not only due to missing documentation from family members, but also because of situations such as disputes among heirs or ongoing legal cases.

The media is reporting that a recent ruling has further cemented this situation, allowing financial institutions to continue profiting from funds that many times sit idle for years while heirs struggle to navigate complex inheritance procedures.

Instead of swiftly transferring these assets to rightful heirs, red tape and burdensome legal requirements slow the process, effectively...

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JLSawmam

Happy on the North Coast
Sep 8, 2018
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If banks here allowed accountholders to name beneficiaries for their accounts, this problem would be greatly lessened. I know Banco Popular doesn't allow this, thus I assume all the other DR banks are the same. All the more reason for accountholders to consider making a will, to state their intents for who will attain possession of their assets, including bank accounts. Another option is adding someone to those accounts, but that option may not be attractive for many reasons. Or, as some locals with only debit card accounts do, just have a family member or two know the PIN for the card and they can then withdraw the money as long as they have the card.

If banks actively delay access to these funds, shame on them. If the delays are due to disputes among heirs or unpreparedness by the accountholder etc, the banks aren't at fault.
 

windeguy

Platinum
Jul 10, 2004
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Once again a will is mentioned to clarify the inheritance situation. But will it make a significant difference to the banks?
 

JLSawmam

Happy on the North Coast
Sep 8, 2018
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Once again a will is mentioned to clarify the inheritance situation. But will it make a significant difference to the banks?
At least it is a legal document showing the accountholder's wishes. If there's no disputes among family and/or other potential heirs, the bank should have no reason not to abide by it. But, as an old friend sued to say...where do we live? :)
 
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drstock

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Oct 29, 2010
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I think the banks will demand all sorts of documents to part with the money - some of which will probably be impossible for the beneficiary to find.
 
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Manuel01

Well-known member
Apr 1, 2009
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Can anybody answer this ???
If somebody dies, how long does it takes until the bank(s) are notified about it by the oficials ?
 

JLSawmam

Happy on the North Coast
Sep 8, 2018
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I'm not sure any "officials" notify the banks or any other businesses. I would think it is up to someone to go to them with the death certificate and whatever other documentation is necessary. But, that's just my guess. I do know this though...a good friend (American) passed away here almost a year ago, and he had me down as a point of contact with Claro (internet contract). I still get calls from Claro asking for him and I keep telling them he passed away.
 
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Farmer

Antiguo
Dec 2, 2003
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So if the bank account is in both spouse's names, is that enough to avoid the potential delays that might be created by the bank? We are currently right in the middle of actually doing that. Went to the savings and credit coop here in Sajoma, Cooperativa San Jose, and it took 5-10 minutes at most to add my wife's name to the account. Banreservas is a whole different story. After a good hour sitting in front of a customer service rep tapping away at her computer, photocopying our passports and all we left. A couple weeks later we were notified that the last stamped entry date in our passports was more than 60 days prior and they couldn't make the changes. WTF? What does one have to do with the other? Just add the name for gawds sake. So we went back in yesterday as we had recently returned from the US and had new date stamps in our passports. Sent it in. We'll see. Yeah I agree, banks will make everything hard. If one of us passes, the other will NOT report it to the bank, but will start doing bank app transfers and suck the other account dry. Screw em.
 

JD Jones

Moderator:North Coast,Santo Domingo,SW Coast,Covid
Jan 7, 2016
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Pretty much what I said the other day. Unless I drop dead suddenly, If I know it's coming, everything gets transferred to my custodian.
I also have a US account that will send money to Tunnels 2 Towers for many years.