Was executor three and a half years ago and found similar problem. The account was treated as a 'clubs and societies' account. The bank (Lloyds TSB) set up a current account and a linked savings account. The interest rate on the linked savings account wasn't great but it meant that funds were transferred automatically between the two accounts. We didn't earn a high rate of interest but it was useful to earn some interest withour having to manually transfer funds as there were so many other things needing doing at the time.

The worst aspect of executors accounts is not the low interest rate they pay on the money in the account it's the astronomical interest rate they charge if you need to borrow money to pay the taxman (equivalent to credit card interest charges!).

Thanks for your response. I shall try them.

It remains a mystery why there is a difference between a 'personal' account and a 'business' account. Money is money!

I have heard mention that Barclays will take on such accounts without problems, they also offer the more complicated trust accounts...however don't expect a great return as with most institutions at the moment...worth a try.!

I have discoverd that all high street banks view the Executor's account of a deceased peron as a 'business account' and pay virtually zero interest. This seems to be the case with the online savings accounts.

Can anyone point me the direction of savings accounts that do not operate such an outrageous and usery policy?

Thank you.

Executor of deceased person.