Closing Bank Accounts Upon the Death of a Loved One

By: Matthew Funeral Home
Monday, February 13, 2023

When a loved one passes away, it can be difficult to keep track of everything you have to handle. In addition to the overwhelming grief, you have to set up a funeral, contact relatives, change bill payments, and contact a number of different agencies. Bank accounts owned by your loved one will need to be dealt with. This article will explore how to handle these accounts upon your loved one’s death. Keep in mind that, usually, a copy of their death certificate and ID is needed to prove the passing of a loved one to the Bank. A Will or other estate documents may be needed to transfer ownership of certain accounts. 

Joint Accounts

Joint bank accounts are most often used between spouses and business partners. Depending on how the account was established, there are two ways the account can be handled upon the death of one of the owners of the account. First, there are “Rights of Survivorship” accounts. These accounts are transferred fully to the co-owner upon death. Accounts without “Rights of Survivorship” can be given to a new co-owner upon death. This is often passed down to a child or other heir. If you are unsure of the nature of the account, check with the bank.

Accounts in Their Name

Bank accounts held solely by the deceased can be held up temporarily while the death is being processed. This account will usually have to be transferred through estate administration. However, it can be held further if the estate is brought to the probate court. This can be avoided if your loved one established a Payable-on-Death (POD) beneficiary. Without a POD beneficiary named, you may need documentation from your loved one’s executor or estate attorney to access the account; provided that it is not caught up in probate.

Accounts Held in Trust

Your loved one may have put one or more of their bank accounts into a trust. Trusts allow the funds to be transferred after your loved one’s death to their heir(s). These trusts, and the transferral of funds, are arbitrated by a trustee, or a group of trustees. Because of this, they are ultimately in charge of the accounts. Thankfully, this also means that you do not have to worry about closing such accounts.

Matthew Funeral Home does not provide legal or financial advice via articles. This material has been prepared for informational purposes only, and is not intended to provide, and should not be relied on for legal or financial advice.
For over 50 years, Matthew Funeral Home has been serving the Staten Island community. We can help with almost every aspect of your loved one’s memorial service. Our family is here to serve yours, every step of the way.

Leave a comment
Name*:
Email:
Comment*:
Please enter the numbers and letters you see in the image. Note that the case of the letters entered matters.

Comments

Please wait

Previous Posts

Alcohol Use and Coping with Grief

While in grief, many people turn to things that can comfort or distract them. It is not uncommon for some people to reach for alcohol in this way. For many people, alcohol can serve as a way to avo...

Apathy and Grief

On this blog, we often talk about how grief is a complicated emotion, and how everyone experiences it differently. However, we don’t often talk about grief and apathy. Apathy is a state of numbness...

Etiquette for Donating In a Loved One's Name

Some individuals or their families request donations to charity in place of flowers during the bereavement period. Most families will appreciate the donation in their loved one’s name. Especially i...

Grief and Losing Online Friends

In our technology-based world, more and more people have developed friendships completely in cyberspace. Consistent communication with gaming partners, online community members, and more allows us ...

Sending Sympathy Meals to a Loved One

When a friend or family member passes away, it is a common practice to send sympathy meals to the immediate family. Sympathy meals show your support for the family while providing them with food. W...

Validating Feelings of Grief

Grief is one of the most complex and misunderstood emotions for people to experience. One way to help your loved one cope with their grief is to validate their feelings. Supporting a loved one who ...

When a Loved One Receives a Terminal Diagnosis

When a loved one finds out that they have a terminal illness, it can be overwhelming to navigate the next steps. It can be difficult to know where to start. Preparations for care, end-of-life servi...

Choosing Your Loved One's Urn

When choosing an urn for your loved one’s cremated remains, there are many aspects to consider. Urns come in an array of shapes, sizes, colors, styles, and materials. It can be difficult to figure ...

Preplanning: Taking Charge of Your Own Funeral

There are many reasons to preplan your funeral, from mitigating costs to making your funeral easier for your loved ones upon your passing. But one important aspect of preplanning your funeral is es...

When is Grief Good?

Grief can make us feel like a great weight rests on our shoulders. Grieving can be a challenging, and often overwhelming, experience. Although grief is brought upon us by loss and sorrow, is it tru...