Dec302025
Guardianship Q&A Series

If my spouse goes to a veteran care facility or nursing facility, who controls their monthly income and bank accounts? – North Carolina

Short Answer

In North Carolina, a spouse’s move into a veteran care facility or nursing facility does not automatically transfer control of that spouse’s monthly income or bank accounts to the other spouse, the facility, or Adult Protective Services. Control usually stays with the spouse unless a valid power of attorney is in place, a court appoints a guardian, or the spouse signs a written authorization naming someone to manage finances. If a guardian is appointed, the guardian controls the ward’s finances under court oversight and must use funds primarily for the ward’s benefit.

Understanding the Problem

In North Carolina guardianship and long-term care situations, the key question is: when a spouse enters a veteran care facility or nursing facility, can someone else control that spouse’s monthly income and bank accounts, and if so, who has the legal authority to do it? This question often comes up when a facility needs a responsible party for paperwork, when a spouse is having trouble managing money, or when an investigation raises concerns about financial abuse and who should handle funds going forward.

Apply the Law

Under North Carolina law, financial control depends on legal authority, not on the fact of placement in a facility. Authority typically comes from (1) the spouse’s own capacity and choices, (2) a valid power of attorney, (3) a court-appointed guardian of the estate (or general guardian), or (4) a written authorization allowing a representative to manage finances for facility-related purposes. When veterans’ benefits are involved, North Carolina has specific rules about how a guardian may use those benefits and when money can be paid to family members.

Key Requirements

  • Legal authority to act: A person controls accounts only if the account owner can and does manage them, or if the person has written authority (power of attorney/authorization) or court authority (guardianship).
  • Fiduciary duty and limits: If someone acts as guardian (or under a financial power of attorney), that person must use the money for the benefit of the account owner and follow legal limits on using funds for others.
  • Court oversight when a guardian is appointed: A guardian of the estate answers to the Clerk of Superior Court and may need court approval for certain uses of funds, especially when funds would support someone other than the ward.

What the Statutes Say

Analysis

Apply the Rule to the Facts: The reported concern involves an allegation of financial abuse and uncertainty about who has authority while a spouse may be in a facility. Under North Carolina law, an APS investigation by itself does not transfer control of income or bank accounts; control turns on whether the spouse has capacity and whether there is a valid power of attorney, written authorization, or a court-appointed guardian. If a guardian is appointed, that guardian must use the spouse’s funds primarily for the spouse’s benefit and may need court approval to use the spouse’s money to support anyone else, including a spouse, especially when veterans’ benefits are involved.

Process & Timing

  1. Who acts: The spouse (if capable), an attorney-in-fact under a power of attorney, a representative authorized in writing by the resident, or a court-appointed guardian. Where: For guardianship, the Clerk of Superior Court in the county where the spouse resides or is present (county-specific filing rules can vary). What: Guardianship petition and supporting documents required by the Clerk; the facility may also request a written authorization or power of attorney documentation for financial management and admissions paperwork. When: Timing depends on whether there is an emergency and the court’s calendar; facility paperwork is often requested at or near admission.
  2. Decision point: If there is no valid power of attorney or written authorization and the spouse cannot manage finances, a guardianship case may be needed to create legal authority to access accounts, pay bills, and manage income.
  3. Ongoing management: If a guardian is appointed, the guardian manages income and accounts under court supervision and uses funds for the spouse’s care and needs; using funds for someone else may require a petition and approval, and veterans’ benefits have additional approval steps for payments to relatives.

Exceptions & Pitfalls

  • “Placement equals control” misunderstanding: A nursing facility or veteran care facility does not automatically gain control of a resident’s bank accounts; it typically needs the resident’s written authorization, a power of attorney, or a guardian.
  • Using the spouse’s money for household expenses: Even in a marriage, once a guardian is involved, using the ward’s funds to support someone other than the ward can require court approval, and veterans’ benefits can require a specific petition and approvals before payments to relatives.
  • Bank access problems: A spouse may be married but still cannot access accounts titled only in the resident’s name without being a joint owner or having legal authority (power of attorney/guardianship).
  • APS investigation confusion: An APS investigation can feel intrusive, but it is not the same thing as a court order. If there is concern about bias or lack of clarity, the practical fix is often to request identification and written documentation of what is being investigated and what authority is being asserted, while separately confirming who has legal authority over accounts.

Conclusion

In North Carolina, a spouse’s move into a veteran care facility or nursing facility does not, by itself, change who controls monthly income or bank accounts. Control depends on legal authority: the spouse (if capable), an attorney-in-fact under a power of attorney, a representative authorized in writing, or a court-appointed guardian. If a guardian is appointed, the guardian must use funds mainly for the ward’s benefit, and certain payments to others—especially involving veterans’ benefits—may require court approval. The next step is to confirm whether a valid power of attorney or written authorization exists; if not and capacity is an issue, file a guardianship petition with the Clerk of Superior Court promptly.

Talk to a Guardianship Attorney

If you’re dealing with questions about who has legal authority to manage a spouse’s income and bank accounts after a move to a veteran care facility or nursing facility—especially with an APS financial abuse allegation in the background—our firm has experienced attorneys who can help explain 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.

Category: Guardianship Q&A Series

Author: jpierce

Attorney Jared Pierce is the founder of Pierce Law Group in Raleigh, North Carolina, a firm he established with a dedicated focus on probate administration and estate planning across North Carolina. Born and raised in the Republic of South Africa, Jared moved to Durham with his family in 2001, bringing with him a rich cultural background and a distinctive accent that often serves as a conversation starter.