Probate Q&A Series

How do I access funds in a decedent’s individual bank account when there’s no payable-on-death designation? – North Carolina

Short Answer

In North Carolina, money in a decedent’s sole bank account with no beneficiary is a probate asset. You can usually access it by: (1) filing a small-estate “collection by affidavit” with the Clerk of Superior Court if the decedent’s total personal property subject to probate is $20,000 or less and at least 30 days have passed; (2) asking the bank to pay balances of $5,000 or less to the Clerk; or (3) opening a full estate and qualifying as personal representative if the small-estate options do not fit.

Understanding the Problem

In North Carolina probate, can you, as the decedent’s life partner, get access to a small individual bank account with no transfer designation by filing something with the Clerk of Superior Court, and when? One salient fact: the death certificate incorrectly lists you and the decedent as married.

Apply the Law

Under North Carolina law, a decedent’s individually titled bank account with no payable-on-death (POD) designation is part of the probate estate. To reach it without full probate, North Carolina allows a small-estate “collection by affidavit” if the probate personal property is within a statutory cap and at least 30 days have elapsed since death. If the balance is very small, the bank can pay up to $5,000 directly to the Clerk of Superior Court. Otherwise, a personal representative must be appointed in a full estate. The Estates Division of the Clerk of Superior Court in the county of the decedent’s domicile is the forum that processes these filings.

Key Requirements

  • Small-estate eligibility: The value of the decedent’s probate personal property must not exceed $20,000 (net of liens), and at least 30 days must have passed since death, with no personal representative already appointed.
  • Who may file the affidavit: An heir, a creditor of the decedent, a devisee, or a person named as executor may serve if otherwise qualified. A life partner who has paid valid debts may qualify as a creditor-affiant.
  • Affidavit contents and effect: Use the statewide form, list heirs, assets, and values, then present certified copies to the bank to release funds to the collector; distribute funds in the statutory order and file a final affidavit (generally within 90 days).
  • Bank-to-Clerk option: If the account is $5,000 or less and no personal representative is appointed, the bank may pay the funds to the Clerk, who will disburse them according to statute.
  • Full administration: If the small-estate thresholds are not met or there are disputes, open a full estate and qualify as personal representative to access the account.

What the Statutes Say

Analysis

Apply the Rule to the Facts: The decedent’s individual bank account with no POD is a probate asset. If that account (plus any other probate personal property) is $20,000 or less, you can file a collection-by-affidavit after 30 days; as someone paying the decedent’s credit cards, you may file as a creditor and then reimburse yourself before distributing to the legal heirs. If the balance is $5,000 or less, asking the bank to pay the Clerk may be quicker. Because the death certificate lists a spouse, the Clerk may require that marital status be corrected or clarified to confirm the correct heirs before release.

Process & Timing

  1. Who files: You (as a creditor) or an heir. Where: Clerk of Superior Court, Estates Division, in the North Carolina county where the decedent lived. What: AOC-E-203B (Affidavit for Collection of Personal Property of Decedent) with asset values and a list of heirs; bring the death record and supporting documents. When: File no sooner than 30 days after death and only if no personal representative has been appointed.
  2. After the Clerk accepts the affidavit, obtain certified copies and present them to the bank to release the account to you as collector. Within the collection period, pay allowed claims and reimburse yourself for debts you paid, then distribute any remainder to the heirs by law (not to non-heir partners).
  3. Final step: File the final affidavit (AOC-E-204) detailing collections and disbursements, generally within 90 days of the qualifying affidavit (extensions up to one year are possible). If the balance is ≤ $5,000, you may instead ask the bank to pay the funds to the Clerk under § 28A-25-6 for the Clerk to disburse.

Exceptions & Pitfalls

  • Over the limit: If probate personal property exceeds $20,000, use full administration (letters) to access the account.
  • Heir disputes or unclear marital status: If anyone contests the heirs or the death certificate lists a spouse, the Clerk may require you to resolve marital status or heirship before approving the affidavit.
  • Creditors not barred: Collection by affidavit does not cut off creditor claims. If you need the protections of published notice, consider appointment of a limited personal representative solely to publish notice.
  • Distribution order matters: Pay claims in the statutory order before distributing to heirs; keep records for the final affidavit.
  • Real estate and other nonprobate assets: Jointly owned real estate, life insurance, and retirement accounts with beneficiaries do not count toward the small-estate cap and are not collected by the affidavit.

Conclusion

In North Carolina, a sole-owner bank account with no POD is a probate asset. You can access it without full probate by filing a small-estate affidavit after 30 days if the probate personal property is $20,000 or less, or by having the bank pay $5,000 or less to the Clerk; otherwise, open a full estate. Next step: file AOC‑E‑203B with the Clerk of Superior Court in the decedent’s county once 30 days have passed.

Talk to a Probate Attorney

If you’re dealing with a North Carolina bank account titled only in the decedent’s name and need the quickest lawful way to access it, our firm has experienced attorneys who can help you understand your options and timelines. Call us today at [919-341-7055].

Disclaimer: This article provides general information about North Carolina law based on the single question stated above. It is not legal advice for your specific situation and does not create an attorney-client relationship. Laws, procedures, and local practice can change and may vary by county. If you have a deadline, act promptly and speak with a licensed North Carolina attorney.