To calculate the value of a deemed share in a bank, post office
or building society account, the decision maker should
1) establish the market value of the deemed share by dividing
the balance of the account by the number of beneficial owners
and
for example, two people have a joint building society account with a balance of £10,000. One has contributed £7,000 and the other £3,000. Each one is treated as owning £5,000.
2) in some cases the applicant may possess a beneficial interest in only a part of the joint account. In these cases the decision maker should apply the above method of calculating an applicants capital to only the part of the account in which the applicant has a beneficial interest.
For example, an applicant and her father have a joint building society account. The account was originally opened by the father for his sole use, he paid in £5,000 (it was never intended that this sum should become part of the joint account). Since then both father and the applicant have paid in to the account another £5,000 between them. The applicant is therefore treated as possessing £2,500.
3) deduct 10% if there would be any expenses of sale and
4) deduct the amount of any incumbrances secured on the
asset.
Note if the account is held with an institution that is in
financial difficulty, an expert opinion as to the market value
should be obtained.
