Who is allowed to manage the deceased person’s bank accounts if there is no will or named beneficiary? – North Carolina

Short Answer

In North Carolina, when a person dies without a will and there is no payable-on-death beneficiary, the person allowed to manage bank accounts titled only in the deceased person’s name is the court-appointed estate representative (usually called an “administrator”). That authority starts only after the Clerk of Superior Court issues Letters of Administration (or, in some smaller estates, after a Small Estate Affidavit is filed and certified). Until then, family members generally do not have legal authority to withdraw or move the money.

Understanding the Problem

In North Carolina probate, the single decision point is whether anyone has legal authority to deal with a deceased person’s bank accounts when there is no will and no named beneficiary. The key issue is who can act for the estate (the person who can request balances, close accounts, and move funds) and what court-issued paperwork the bank typically requires before it will release money.

Apply the Law

Under North Carolina law, a bank account that was owned only by the deceased person usually becomes part of the probate estate when there is no beneficiary designation. The person with authority to manage those probate funds is the personal representative appointed through the estate proceeding with the Clerk of Superior Court (often the “administrator” in an intestate estate). In smaller estates, North Carolina also allows a streamlined process where a qualified person can collect certain assets using a certified Small Estate Affidavit instead of full administration, depending on the estate’s size and circumstances.

Key Requirements

Proper authority: The person managing the account must be the court-authorized estate representative (or a person using a certified small-estate procedure when allowed).
Right paperwork for the bank: Financial institutions typically require certified Letters of Administration (or a certified Small Estate Affidavit, if applicable) and a death certificate before releasing funds.
Correct account type: The answer can change if the account is jointly owned with survivorship rights or has a beneficiary designation; the question here assumes neither applies.

What the Statutes Say

N.C. Gen. Stat. § 36F-8 (Disclosure of digital assets of deceased user) – Lists the types of estate documents (including Letters of Administration and a certified small estate affidavit) that can be used to obtain access from custodians once a personal representative is appointed or a small-estate process is used.
N.C. Gen. Stat. § 54-109.62 (Payment of balance of deceased person to personal representative) – Allows a credit union to pay a deceased member’s balance to a duly qualified personal representative (and explains that letters issued/certified by the appointing court are sufficient authority).

Analysis

Apply the Rule to the Facts: With no will and no named beneficiary, the bank account is typically treated as an estate asset if it is titled only in the deceased person’s name. That means the person who can manage it is the administrator appointed by the Clerk of Superior Court and proven by certified Letters of Administration. If the estate qualifies for a small-estate procedure, a qualified person may be able to collect the funds using a certified Small Estate Affidavit instead of opening a full estate.

Process & Timing

Who files: A person with priority to serve as administrator under North Carolina intestacy practice (often a spouse or adult child). Where: The Clerk of Superior Court in the county where the deceased person lived. What: An application to qualify as administrator so the Clerk can issue certified Letters of Administration (or, if eligible, a Small Estate Affidavit procedure). When: As soon as practical after death, especially if bills must be handled or assets need to be protected.
Bank contact and information gathering: After qualification, the administrator typically requests date-of-death balances and account details from each financial institution and then closes or retitles accounts as needed. Many institutions will not release full information until they see the certified Letters (or other certified estate authority).
Estate account handling: Once funds are collected, the administrator commonly opens an estate checking account and deposits estate money there so it can be tracked and later reported in the required estate filings.

Exceptions & Pitfalls

Joint accounts can change everything: If an account is joint with survivorship rights, the surviving owner may be entitled to the balance outside probate, and the administrator may only have a role in limited situations.
“I’m next of kin” is not bank authority: Even close family members often cannot withdraw funds from a deceased person’s sole account without court authority. Trying to do so can create disputes and accounting problems later.
Mixing funds creates headaches: Once appointed, the administrator should avoid depositing estate money into a personal account. Keeping estate funds in an estate account helps with required inventories/accountings and reduces conflict risk.

Conclusion

In North Carolina, when there is no will and no named beneficiary, the person allowed to manage a deceased person’s bank accounts titled only in the deceased person’s name is the court-appointed administrator (the estate’s personal representative). Banks typically require certified Letters of Administration (or, in qualifying cases, a certified small-estate document) before releasing funds. The next step is to file to open the estate with the Clerk of Superior Court in the county of residence so the Clerk can issue the Letters needed to access the accounts.

Talk to a Probate Attorney

If there is a need to access a deceased person’s bank account and there is no will or named beneficiary, our firm has experienced attorneys who can help explain the probate options, required paperwork, and likely 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.