For many people, the main assets in a legacy are the real estate assets, and the second most important are the financial ones. There is a lot of information about what happens with properties when the probate starts, but what happens with financial assets?
The first thing to know is that there is not a register of financial assets that can tell you how many financial products the deceased had. Therefore, you need to review the paperwork and try to find out what balances can still be opened. Nowadays, things are getting more complicated since many financial providers do not send paper letters anymore and rely only on e-mails.
According to the Spanish Central Bank, an heir has the right to receive from a bank: a certification that informs about all the positions of the grantor, a report about the transactions done after the moment of death, transactions done up to one year before the death, and a copy of the contract that the grantor had with the entity. It is good to know that the Spanish Central Bank also states that this information is rightfully yours, so the bank should not apply any kind of fee for providing it.
With this information, not only will you be able to know what the grantor had, but also if he has donated something to other heirs in which case this could be included in the legacy calculation. Therefore, the value is taken into consideration as already inherited.
However, sometimes we just do not know which banks ask for the information. You can be aware of some bank accounts, but ignore that the grantor had others.
In such case, sometimes the tax authority can help. If the deceased declared some of the accounts in their tax return, you could ask for it showing that you are the legal heir and that the person passed away.
Stock market shares and funds are similar. You will need to prove that you are the heir, that the person is dead, and, typically, you will be able to put them in your name. Keep in mind that you have to record the value of these assets at the date of the death because that will be the acquisition value that you will need to use when you sell them and have to pay your income tax.
In general, until you pay the taxes, you will not be able to manage your new inherited accounts.
The best way to prevent your heirs from having to research the financial institutions in search of your financial products is to give them a written list of such products., this could be included within your Will.