Short Answer

In North Carolina, you must file a detailed inventory within three months of qualifying and safeguard estate property immediately. You can complete the inventory and protect assets even if the estate’s EIN and bank account are not ready: keep funds segregated, secure physical items, and do not deposit checks into any personal or non-estate account. If the EIN delay threatens your 90-day inventory deadline, ask the Clerk of Superior Court for a short extension. In limited cases, you may use clerk-assisted options or a court-approved restricted account until the estate account opens.

Understanding the Problem

In North Carolina, as the court-appointed administrator, how do I inventory and safeguard estate assets and still meet the 90-day inventory rule when I can’t open the estate bank account because the IRS hasn’t issued the estate EIN?

Apply the Law

North Carolina law requires a personal representative to protect estate assets and file an inventory within three months of qualification. The Clerk of Superior Court (Estates Division) oversees the file, audits your reports, and can grant short extensions for good cause. You must keep estate property separate, promptly secure valuables and records, and maintain detailed receipts and vouchers for later accounting. If checks arrive before an estate account exists, hold them securely and do not commingle. Where funds must be received before the account opens, limited clerk-managed options or court-approved restricted accounts may be available; procedures vary by county.

Key Requirements

• Safeguard and separate assets: Secure property immediately, maintain insurance as needed, and never commingle with personal funds.
• Inventory in 90 days: File AOC-E-505 within three months of qualification; include cash and undeposited checks on hand and date-of-death values (you may list an item’s value as “undetermined” while an appraisal is pending).
• Recordkeeping for audits: Keep a transaction log, receipts, and vouchers to support every receipt and disbursement for later accountings (AOC-E-506).
• EIN delays: If the EIN delay prevents opening the estate account, hold checks securely, ask payors to wait or reissue to the estate, and request a short extension from the Clerk before the inventory deadline.
• Interim deposit options: In limited situations, funds owed to the decedent may be paid to the Clerk (G.S. 28A-25-6) or placed in a court-restricted account by order; availability and process vary by county.
• Bond and large transactions: Notify the Clerk about significant receipts; bond may need adjustment to match assets under administration.

What the Statutes Say

• North Carolina Gen. Stat. § 28A-20-1 (Inventory due in 3 months) – Inventory must be filed within three months of qualification.
• North Carolina Gen. Stat. § 28A-20-2 (Orders/Extensions) – Clerk may order filing, allow more time, and enforce compliance.
• North Carolina Gen. Stat. § 28A-13-2 (Duties of personal representative) – Settle the estate expeditiously and prudently safeguard assets.
• North Carolina Gen. Stat. § 28A-25-6 (Payment to Clerk of money owed decedent) – Allows certain payments to the Clerk; may be used in limited circumstances.

Analysis

Apply the Rule to the Facts: You are administering two North Carolina estates but cannot open estate accounts yet because the IRS has not issued EINs. You can still secure property, list assets, and complete most of the AOC-E-505 inventory, including “cash and undeposited checks on hand.” Keep separate files and logs for each estate and avoid any commingling. If the EIN delay threatens the 90‑day deadline, file a written extension request with the Clerk and explain the IRS timing; continue safeguarding assets and documenting values (using “undetermined” where an appraisal is pending).

Process & Timing

1. Who files: Administrator. Where: Clerk of Superior Court (Estates Division) in the county of qualification. What: INVENTORY FOR DECEDENT’S ESTATE (AOC-E-505); use AOC-E-520 if a safe-deposit box must be inventoried. When: File the inventory within three months of qualification; request a short extension in writing before the deadline if the EIN delay persists.
2. Secure and segregate assets: Lock and insure the residence if needed; catalog valuables; stop auto-deposits; hold incoming checks securely (do not deposit into any personal account). If money must be received immediately, ask the payer to hold or reissue; in limited cases, consult the Clerk about payment to the Clerk under G.S. 28A-25-6 or a restricted account order. Timeframes vary by county.
3. Open the estate account promptly: Upon receiving the EIN, open a separate estate checking account for each estate and immediately deposit cash and undeposited checks. Maintain receipts and vouchers for all future AOC-E-506 accountings. If large receipts occur, notify the Clerk and verify bond sufficiency.

Exceptions & Pitfalls

• Commingling risk: Never use a personal or business account as a temporary holding place; doing so risks removal and personal surcharge.
• Two estates, two ledgers: Keep separate records and, when available, separate bank accounts for each estate; do not cross-use funds between estates.
• Cash and checks: It is acceptable to list “cash and undeposited checks on hand” on the inventory and hold checks securely; do not cash or deposit them outside a proper estate account.
• Missed deadlines: If you are approaching the 90‑day mark, submit a written extension request; if you miss it, the Clerk may issue escalating orders to compel filing.
• Valuations: Use date‑of‑death values; if an appraisal is pending, list “undetermined” and file a supplemental update or reflect it on the first account.
• Bond adjustments: Significant receipts may require an increased bond; alert the Clerk promptly.

Talk to a Probate Attorney

If you’re dealing with a North Carolina estate and can’t open the bank account yet, 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.