EXCLUSIVE: Use of Deceased's Deposits Allowed without Heirs' Consent

Tokyo, July 27 (Jiji Press)--The Japanese government has notified municipalities and financial institutions that they are now allowed to use the deceased's deposits to cover burial or cremation fees without heirs' consent if the deceased have no one to take care of their remains, Jiji Press has learned.

This is aimed at reducing the financial burden on municipalities, which have shouldered burial or cremation costs when the deceased's deposits could not be used, at a time when the number of people dying alone is increasing.
 

Reflecting lifestyle changes and other circumstances, the proportion of single-person households in Japan rose from 25.6 pct in 1995 to 38.0 pct in 2020. Among elderly people aged 65 and over, the share of such households jumped from 5.0 pct to 12.1 pct.
 

The number of people who died with no one to take care of their remains between April 2018 and October 2021 came to 105,773, according to the internal affairs ministry.
 

Under the current law, burial or cremation costs for people who died alone will be paid using their deposits, and any shortfalls will be covered by municipalities.
 

However, whether the deceased's deposits can be used has depended on coordination between municipalities and financial institutions. Municipalities have been denied access to the deceased's deposits in some cases because they were not heirs, and required to submit various documents in other cases.
 

In light of this situation, the welfare ministry has revised the guidelines for handling money left by people who died alone, including a new document format for municipalities to submit to financial institutions.
 

The revised guidelines also state that heirs' consent is not necessary to withdraw the deceased's deposits to pay burial or cremation fees.
 

The central government has been considering this issue since 34 local governments asked it in 2024 to clarify related rules as part of decentralization reform.
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