According to Italian law, a bank account can be either personal or joint (shared by two or several individuals). A joint bank account presumes joint ownership of the money held in the account.
What happens if one of the joint account holders dies?
The withdrawal of money from the joint bank account, after one of the joint holders’ death, is often a cause of disputes between heirs.
Joint bank accounts: three different signatures
Following the death of one of the joint account holders and the withdrawal of money from the same joint bank account, disputes between heirs may arise.
Cases vary, depending on the signature permissions with which the joint bank account was opened:
- Joint signature (“firma congiunta”): all transactions must be authorized by each holder. If one of the holders dies, the bank account is blocked until the bank has identified the heirs and shares to be distributed.
- Single signature (“firma disgiunta”): in this case, the surviving joint holders can perform all the transactions independently. These transactions must not exceed the amounts of money that are presumed to be in their possession. The presumption of joint ownership can be overcome by one of the other joint holders, if they can demonstrate the funds in the joint account belong only to them.
- A combination of the two (“misto”): Transactions below a specified threshold can be carried out without the authorization of the other joint holders. If the same transactions exceed said limit, the consent of the other joint holders is necessary.
If you are looking for more information related to this topic, please email us: inquiry@mylawyerinitaly.com.