What happens to Premium Bonds when you die? NS&I explains what details a person will need

Martin Lewis on tracing dead relative's Premium Bonds

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Thinking about finances is the last thing family and friends will want to do following the death of a loved one. That’s why NS&I gives guidance on the details which are needed for those handling the claiming of savings of a person who has died.

Addressing NS&I savings in general, NS&I explains claiming the savings of a person who has died can be done so online.

This is without needing to create an online account.

“Please make sure you have their details to hand, and you are legally entitled to claim their savings,” the Government-backed savings provider says.

“We will let you know if we need a Grant of Representation (also known as a Grant of Probate or Grant of Letters of Administration) once we receive your completed form.

“We may ask for this if the customer’s total NS&I savings are £5,000 or over.

“The Director of Savings also reserves the right to request a Grant of Representation for savings of any value.”

So, what information does the person claiming the savings need to have?

NS&I states they must have the following details to hand:

  • The customer’s personal details (full name, address, date of birth, date and place of death)
  • Spouse name (if applicable)
  • Full name of the executor(s) if there is a Will, or administrators if there is no Will (if they’re obtaining a Grant of Administration or Confirmation of Executor Dative)
  • Type of NS&I account(s) the customer held
  • Details of the person who is making the claim
  • Bank account details to pay the money in to.

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Once the paperwork is sorted and the person has a claim form, they will need to decide what to do with the savings.

It’s important to note some NS&I savings cannot be transferred into another person’s name, while others can be.

If the deceased customers’ NS&I savings include Premium Bonds, then these Bonds can remain in each prize draw for up to 12 months after the date of the customer’s death, NS&I states, rather than be repaid.

This preference needs to be stated on the claim form, and either the Bonds or details of them should be sent in, if a person wants to keep them in each prize draw.

If they do stay in the draw instead of being repaid, some may wonder what happens if a prize is won.

“Once we’ve been told of the customer’s death, any prizes won will be paid by warrant (like a cheque) to the person entitled to the money after we’ve completed the claim,” explains NS&I.

NS&I will hold onto any prizes the customer wins before then, and they will be sent once the claim is completed.

“Then we’ll send any future prizes won by warrant after each prize draw to the person entitled to the money.”

It’s important to be aware these prizes can’t be paid electronically or consolidated and paid at the end of the 12 months.

If the person who has died has won a prize and been sent a prize warrant, NS&I explains what to do.

“Please send the prize warrant back to us and we’ll reissue it to the person entitled to the money, once we’ve completed the claim.

“We’ll also hold on to any other prizes the customer wins until we have completed the claim.

“Then we’ll send any future prizes won by warrant (like a cheque) after each prize draw to the person entitled to the money.”

At the end of the 12 months, NS&I will repay the money to the person entitled to it.

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