Important Facts…
It is recommended that the survivor consult with a financial advisor regarding all financial matters.
Transferring/Closing of Accounts:
Sole Ownership Accounts with no designated and Tenancy in Common titles must be included in probate proceedings and will require:
- Certified copy of Death Certificate
- Letters of Administration from estate, current within 60 days
Sole Ownership with IN TRUST FOR (ITF) require:
- Certified copy of Death Certificate
- Proof of beneficiary identity
Joint Accounts (JTWRS) with two (2) or more names listed as co-owners:
- The survivor(s) has rights to withdraw the funds from the account (although there may be inheritance due if the survivor is not the spouse). If both owners are deceased and there is no stated beneficiary, the account becomes probate property of the last one to die.
Short-term Deposits GIC’s
Accounts that will mature in a specific time period follow the same regulations as most savings and chequing accounts. The death of the owner generally allows the short-term deposit to be cashed-in without penalty. Check with local bank.
Registered Retirement Savings Plan (RRSP)
Retirement monies on account can be released to a surviving spouse or designated beneficiary. A certified copy of the death certificate must be presented. Funds payable to the spouse can be “rolled over” into spouse’s RRSP to defer income tax. RRSP funds generally must be listed as assets for estate taxation purposes. If the beneficiary is someone other than the surviving spouse, the designated beneficiary must pay income tax on the previously untaxed portion of the RRSP.
Living Trust:
Generally, funds in a revocable or “living” trust must be reported as assets for estate taxation purposes. A list of all Living Trust accounts should be kept on file. The trustee and the lawyer settling the estate must be notified to institute proper legal proceedings to activate trust payments.
Government Bonds:
Redeemable at:
- A Federal Bank
- Local Banks—may send bonds for redemption (a certified copy of death certificate is required).
Procedure for Redeeming:
Sole Owner with a stated beneficiary:
- Beneficiary signs name as it appears on the front of the bond.
- Requires one certified copy of the Death Certificate for all bonds.
- Estate’s Personal Representative submits a certified copy of the Death Certificate.
-If an Executor is named in the Will or if there is a Letter of Administration, the court appoints an Executor valid for no more than six months prior to redemption. The bond is signed as follows:
(Name [Administrator of Estate]), Administrator of Estate [Name], deceased)
- Co-Owner or Beneficiary, both deceased when the last named person’s estate is being settled:
- Requires a certified copy of the Death Certificate for the first person who is deceased and Letter of Administration (valid for no more than six (6) months prior to redemption) for the most recently deceased and signed as follows:
(Name [Administrator of Estate] and Name of last Deceased)
- General Information:
The procedures only apply to government bonds when the estate has already been closed and the bonds are now being redeemed.
- Additionally, a certified copy of Decree of Distribution or Final Account Form must be completed and accompany the required document. If there is more than one name listed on the bond, a copy of each deceased person’s death certificate must also be furnished.