Banking contracts, withdrawal rules, death and management

Banking relationships involving securities, passbooks, credit, and current accounts are governed by specific rules that govern the management and termination of banking contracts. These agreements, usually for an indefinite period, allow the parties to flexibly manage their funds and credit, but also provide for the right to withdraw under certain conditions.

Termination in indefinite-term contracts

In the case of indefinite-term banking contracts, either party may withdraw from the contract at the end of each account closure, provided they provide at least ten days' notice. This right of withdrawal also extends to heirs or legal representatives in the event of interdiction, incapacity, insolvency, or death of one of the parties. Death, in particular, does not automatically terminate the contract, but grants the heirs the power to decide whether or not to continue the relationship.

The importance of the fiduciary relationship

One of the central elements of the current account relationship is the fiduciary principle. This bond of trust between the parties justifies the possibility of withdrawal, especially in the event of events such as death or insolvency. Although there are no specific forms required for termination, it is important that it be expressed explicitly and unequivocally. The right of withdrawal, in these cases, guarantees the freedom not to remain bound by the contract indefinitely.

Termination of the contract: effects and limitations

When a party withdraws from a banking contract, the termination does not result in the inclusion of new items in the current account. New remittances, if accepted, do not imply a tacit waiver of withdrawal but rather represent a potential new contract. However, termination of the contract does not entail the immediate closure of the account, since the final balance is paid only upon actual closure.

The bank account contract and the death of the account holder

The death of the account holder raises several interpretative questions regarding the fate of the bank account contract. The prevailing doctrine holds that the death of the customer constitutes a cause for termination of the contract, based on the fiduciary nature of the relationship. However, a different view, also supported by some arbitration decisions, holds that the contract does not automatically terminate upon the customer's death, but only following a clear expression of the heirs' wishes.

Joint account holders: what happens in the event of death

In the case of joint account holders with separate signatures, the death of one of the account holders raises further legal issues. Some argue that the contract continues with the succession of the heirs in the rights of the deceased, while others believe that the contract is extinguished, as it is subject to the rules of mandate, which provide for its termination with the death of one of the parties.

Banking relationships and current account agreements are based on complex regulations, which place great emphasis on the principle of trust between the parties. The right of withdrawal and contract management in the event of significant events, such as the death of one of the parties, are central aspects that guarantee flexibility and security in the maintenance or termination of contractual relationships. To learn more about this topic, you can contact the Agenzia delle Successioni, whose professionals will be able to provide the right support.