AIB close account without permission

ullu

Just curious if this is bad form or not?

I've had a deposit account since my communion around twenty years ago. It was opened in two names, mine and my mother's. Since getting an ATM card for my current account, I've never used it and there has only been a couple of euro in it for years.

It has been visible the entire time I've used internet banking. Last week, it disappeared. Unbeknownst to me, they wrote to my mother a few weeks ago asking her if she wanted to close the account. She didn't have a clue what they were on about and said to go ahead. When I called the bank to ask what had happened, they eventually surmised that they must have sent the letter to her. She now has the money in her own account.

Is this a common occurance from people's experience? Is it as likely to have happened if there was €100/1000 in the account? I realise my mother gave the go ahead but it seems odd that the bank would accept this (i.e I doubt it would happen if one half of a divorcing couple gave permission to close one)

chris85

The account was probably dormant and they wanted to get rid of it so asked her and she said ok. Joint accounts generally only require one person to authorise actions unless it is agreed that both parties need to authorise actions ( this is usually done when opening account).

Banks always want to get rid of dormant accounts as they case work every year due to issuing statement as they do on each acct on a yearly basis.

dotsman

Definitely not bad form. In fact, most people would see it as very good form.

As chris85 said, they're just closing off dormant accounts. Given that the account was set up at the time of your communion, I would imagine your mother's name was on the account as well.

Everything you need to know should be on the official website.

stepbar

Joint accounts require TWO signatures to close.

chris85

stepbar wrote: »

Joint accounts require TWO signatures to close.

They dont need a signature to close dormant account. They just need to notify all parties on an account they are closing the account as it has fallen dormant. If under €100 they dont need to notify the account holders at all.

ullu

chris85 wrote: »

They dont need a signature to close dormant account. They just need to notify all parties on an account they are closing the account as it has fallen dormant. If under €100 they dont need to notify the account holders at all.

What happens if €99 is in the account (x500 cases) and they decide to close it? Do they just pick an address, write to it, hope someone responds to close the account and give them the money? It seems like they used a pretty arbitrary method of choosing who to close the account with (i.e they didn't notify me even though I have the same contact address)

dotsman

ullu wrote: »

What happens if €99 is in the account (x500 cases) and they decide to close it?

It's a lot more than 500 cases. But what does that matter?

ullu wrote: »

Do they just pick an address, write to it, hope someone responds to close the account and give them the money? It seems like they used a pretty arbitrary method of choosing who to close the account with (i.e they didn't notify me even though I have the same contact address)

They don't just pick an address, they notify the person at the last known address associated with that account. Now, in your case, you are saying that you still live with your mother. At any time did you live away from home, notify the bank, but subsequently forgot to notify them when you moved back home?

With regards the word "hope", it doesn't matter to the bank if a person replies or not. When it comes to a dormant account, either the person claims it, or the bank transfers it to the dormant account fund. Either way, the bank gains/loses nothing from the process (other than the costs associated with identifying the account and notifying the customer). They are merely following the law, and their process is the one dictated to them by law.

itsyourmoney.ie: Aine

Here's some info on dormant accounts if anyone interested:http://www.itsyourmoney.ie/index.jsp?a=211&n=97&p=93#dormant_account

chris85

ullu wrote: »

What happens if €99 is in the account (x500 cases) and they decide to close it? Do they just pick an address, write to it, hope someone responds to close the account and give them the money? It seems like they used a pretty arbitrary method of choosing who to close the account with (i.e they didn't notify me even though I have the same contact address)

under €100 they dont need to notify you as said. they close it if inactive for 15 years. If you want the money you will need to complete a claim form for it and present yourself at the bank afaik. Its seems like an ok procedure to me.