The Delicate Work When a Client Dies
The death of a client is a sad occasion, and a challenge to navigate for reasons that go beyond business. These challenges start when you first become notified – usually when a client’s family member or friend, who you may or may not know, presents themselves announcing their death and asking for your help in a difficult time. Before you leap into action it’s important to remember that these situations are not just sensitive emotionally but legally as well and the transfer of assets involved needs to be done right.
Remember the following:
- The first, and most important, thing to do is notify the Custodian(s) holding the client’s funds about their death immediately.
- The rules around protecting client info and accounts do not change in case of death, and claims around deaths are common territory for fraud. Until a Death Certificate and Letter of Testamentary (naming the client’s executor) have been produced and kept on file, discussing client information and account details with third parties is prohibited.
- All account activity, trading included, must stop. The Custodian(s) should put an appropriate hold on the accounts.
We thank you for the work you put into doing things right, through both the good times for your clients and the bad.
As always, please feel free to reach out to us at compliance@greatvalleyadvisors.com with any questions.
