Bank Account After Death With No Will

Intestate Succession Decides

When someone dies without a will, state intestacy laws determine who inherits. These laws follow a strict hierarchy — you don't get to choose, negotiate, or argue. The statute picks the heirs automatically based on family relationships.

The typical order in most states:

1. Surviving spouse — receives the entire estate or a significant share (often 50-100%, depending on whether there are children)
2. Children — split the estate equally, or share with the surviving spouse
3. Parents — inherit if there's no spouse or children
4. Siblings — next in line
5. Extended relatives — grandparents, aunts, uncles, cousins
6. The state — if no living relatives can be identified (called "escheat")

Every state has its own version of this hierarchy. Community property states (like California and Texas) treat a surviving spouse differently than common law states.

The Process for Claiming Bank Accounts Without a Will

Without a will, no one can name themselves executor. Instead, someone must petition the probate court for appointment as administrator of the estate. The court follows its own priority list — usually starting with the surviving spouse, then adult children, then other close relatives.

Once appointed, the administrator receives Letters of Administration (the no-will equivalent of Letters Testamentary). From there, the bank account claims process is identical to what an executor would do:

1. Get an EIN from the IRS for the estate
2. Open an estate checking account
3. Present Letters of Administration, certified death certificate, EIN confirmation, and photo ID to each bank
4. Transfer frozen funds into the estate account
5. Pay debts in statutory priority order
6. Distribute remaining funds to heirs per the intestacy statute

Accounts That Skip This Process Entirely

Not every bank account goes through probate, even without a will:

• Joint accounts with right of survivorship pass to the surviving owner automatically
• POD/TOD accounts transfer directly to named beneficiaries
• Accounts in a trust are managed by the successor trustee

These designations override intestacy law. If a parent named one child as POD beneficiary on a $200,000 account, that child gets the money regardless of what the intestacy statute says about equal distribution.

Small Estate Shortcut

If the total value of solely owned personal property falls below your state's small estate threshold, you may be able to skip probate entirely using a small estate affidavit. Check your state's threshold — they range from $10,000 (Georgia) to $208,850 (California).

The Waiting Period Problem

Without a will, the court must appoint an administrator before the estate can use the formal probate process. While appointment is pending, solely owned accounts may remain frozen and automatic payments can stop. Mortgage, utility, and insurance bills may go unpaid.

If the deceased was the household's primary income source, this freeze creates an immediate cash crisis for the surviving family. Some banks will release funeral expenses upon presentation of the funeral director's invoice and death certificate before probate is completed — ask their estate services department.

Community Property States

In Arizona, California, Idaho, Louisiana, Nevada, New Mexico, Texas, Washington, and Wisconsin, the surviving spouse generally already owns their share of community property (assets acquired during the marriage). The deceased spouse's share is distributed under that state's intestacy law, which may give part of it to other heirs. Separate property (pre-marriage assets, gifts, inheritances) follows the state's intestacy hierarchy.

The Bank Accounts & Financial Claims After Death toolkit covers the intestate claims process step by step, including how to petition for Letters of Administration and navigate the court appointment when there's no will.