Proposed amendment to section 69B of the Banking Act 1959 (Cth)
30 October 2025
On 28 October 2025, the Law Council sent a letter to the Treasurer and Assistant Treasurer to advocate for proposed amendments to section 69B of the Banking Act 1959 (Cth).
Section 69B of the Banking Act stipulates that where a depositor of an authorised deposit-taking institution (ADI) dies, the ADI may apply up to $15,000 in payment: of the deceased person’s funeral expenses or debts; or to the executor of the deceased person’s will; or to anyone else who is entitled to the amount, as deemed by the ADI, having regard to the laws of probate and accepted practice for the administration of deceased estates. The amount of $15,000, which may be applied without production of probate, the will or letters of administration of the estate, has not been increased since the provision’s introduction in 1998.
The Law Council recommends two changes:
- Increase the withdrawal limit amount prescribed in section 69B of the Banking Act from $15,000 to at least $30,000.
- Include a paragraph under subsection 69B(1) expressly providing for the payment of court filing fees as a permissible purpose for the application of funds from the account.
The Law Council understands that the amount of $15,000 currently stipulated in section 69B is often insufficient to cover funeral costs, court filing fees and other permissible expenses. The recommended amendment would reflect economic inflation and the increased cost of living since the provision’s introduction in 1998.
The Law Council also supports amending section 69B of the Banking Act to expressly provide for the payment of court filing fees as a permissible purpose for the withdrawal of funds from the deceased person’s account. We recognise that some ADIs already enable the application of funds for court filing fees. However, an express reference will provide legislative certainty to financial institutions and associated parties.
The Law Council will welcome engagement from government on our proposals.
Last Updated on 28/10/2025
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