Charities say gifts by deceased donors are getting held up at financial firms

Billy Odell Tucker-Robinson Founder & Host — Banking With Billy Network • Intelligence Network • Data Science • AI Research • World News
Published: 2026-09-17T11:36:13.031Z • Permanent link

Recent intelligence has revealed that charities are facing a frustrating delay in receiving gifts from deceased donors, with some financial firms holding up these bequests for extended periods. At the forefront of this issue is the UK-based charity, Age UK, which has reported a significant backlog of unclaimed donations from deceased individuals. According to Age UK, the charity is working closely with financial institutions to resolve the issue and ensure that these gifts reach their intended recipients.

At the heart of the problem lies the complexities of financial regulation and the need for institutions to verify the identity and intentions of donors. In the UK, for example, financial firms are required to conduct thorough due diligence on donors to prevent money laundering and terrorist financing. This process can be time-consuming, and in some cases, it may lead to gifts being held up indefinitely. In the United States, the Financial Crimes Enforcement Network (FinCEN) has implemented similar regulations, requiring financial institutions to report suspicious activity related to donations.

The issue is not limited to the UK or the US; charities worldwide are facing similar challenges. In Australia, for instance, the Australian Charities and Not-for-profits Commission (ACNC) has reported a significant number of unclaimed donations from deceased individuals. The ACNC has called on financial institutions to improve their processes for handling these bequests, ensuring that charities receive the necessary funding to support their vital work. In Canada, the Canada Revenue Agency (CRA) has also taken steps to address the issue, providing guidance to financial institutions on how to handle donations from deceased individuals.

The impact of this issue on the Financial Market Data domain is significant, with far-reaching consequences for charities, research communities, and markets. Charities rely on donations to fund their operations and support their cause; a delayed or blocked donation can have a profound impact on their ability to deliver services. Research communities, too, are affected, as charities often rely on donations to fund research initiatives and projects. In the US, for example, the National Institutes of Health (NIH) relies heavily on donations to fund research grants and projects. A delay in receiving these donations can have significant implications for research outcomes and the development of new treatments.

In addition, the issue has implications for markets and policy environments. Charities play a critical role in supporting vulnerable populations, such as the elderly and those with disabilities. A delay in receiving donations can have a disproportionate impact on these groups, exacerbating existing social and economic inequalities. In the UK, for instance, Age UK has reported that a delay in receiving donations can lead to a significant increase in demand for their services, putting pressure on their resources and infrastructure. In the US, the issue has sparked concerns about the impact on non-profit organizations, which often rely on donations to fund their operations.

The issue of delayed or blocked donations from deceased individuals is part of a larger pattern of regulatory complexities and competing approaches to financial regulation. In recent years, there have been efforts to strengthen anti-money laundering and counter-terrorist financing regulations, which have led to increased scrutiny of donations and increased complexity in the process of verifying donor identity. While these regulations are intended to prevent financial crime, they can have unintended consequences, such as delaying or blocking donations from deceased individuals.