Jan162026
Probate Q&A Series

If I was listed on a bank account with my parent, what happens to that money after my parent’s death, and can someone move it out of the joint account? – North Carolina

Short Answer

In North Carolina, what happens to a joint bank account after a parent’s death usually depends on whether the account was set up with a right of survivorship in writing. If it was, the surviving joint owner typically becomes the owner of the remaining balance at death by operation of law, meaning it usually does not pass under the will. During the parent’s lifetime, a joint owner (and sometimes an authorized agent) may be able to withdraw funds, so money can sometimes be moved out before or shortly after death unless the bank has notice of the death or a court order restricts transactions.

Understanding the Problem

In North Carolina probate disputes, a common question is: if a parent and an adult child were both listed on a bank account, does the money go to the surviving account holder after the parent dies, or does it become part of the estate controlled by the will. A second, closely related question is whether another person (such as a spouse or caregiver) can remove or transfer money from that joint account before the estate issues are resolved. The answer usually turns on how the account was titled (especially whether it included survivorship language) and who had legal authority to transact on the account at the time the money was moved.

Apply the Law

North Carolina treats many joint deposit accounts as survivorship accounts if the parties signed a written agreement creating a right of survivorship. When a valid survivorship agreement exists, the surviving joint owner generally becomes the owner of the remaining (unwithdrawn) balance at the moment of death, even if the will says something different. However, North Carolina law also recognizes that certain estate expenses and claims can reach a portion of survivorship funds in limited circumstances, and disputes can arise if the account was created or used through fraud, undue influence, or lack of capacity.

Key Requirements

  • Account type and paperwork: The deposit agreement/signature card (or a separate written instrument) must show whether the account is “joint with right of survivorship” and who signed it.
  • Authority to withdraw: Many joint accounts allow either owner to withdraw funds during life unless the bank contract requires two signatures; banks are generally protected when they pay an authorized signer.
  • Timing and remaining balance at death: Survivorship usually applies to the unwithdrawn balance at death; money taken out earlier may be challenged depending on who took it and under what authority.

What the Statutes Say

Analysis

Apply the Rule to the Facts: In the scenario described, the key issue is whether the parent-and-child account was documented as a joint account with right of survivorship (and properly signed). If it was, the remaining balance at the parent’s death would typically pass to the surviving joint owner rather than through the will, although a personal representative may still have limited rights to reach a portion for certain estate expenses and claims. Separately, allegations that someone wrote checks signing the parent’s name or moved funds into other accounts raise a different question: whether the transfers were authorized and lawful, which can support requests for court intervention and claims to recover funds.

Process & Timing

  1. Who files: Typically an interested person (such as an heir) and/or the estate’s personal representative once appointed. Where: The Clerk of Superior Court (Estates) in the county where the estate is administered, and sometimes Superior Court for certain injunction-type relief. What: A request to open the estate (to get a personal representative appointed) and, if needed, an emergency motion/request for a restraining order or other relief to preserve assets. When: As soon as there is a credible risk of funds being transferred or dissipated.
  2. Gather proof quickly: Obtain the account’s signature card/deposit agreement (showing survivorship language and required signatures), recent statements, copies/images of checks, and any documents showing who had authority (for example, a power of attorney) and when the bank was notified of the death.
  3. Seek targeted relief: If there is evidence of unauthorized withdrawals or rapid transfers, counsel can pursue court orders aimed at preserving funds and requiring an accounting, while longer disputes (like a will contest or claims of undue influence/fraud) proceed on their own track.

Exceptions & Pitfalls

  • Not every “joint” account is survivorship: The label on a statement is not always enough. The controlling document is usually the signed account agreement/signature card showing whether survivorship was elected and whether all required parties signed.
  • Withdrawals during life can be “authorized” by the bank but still disputed later: North Carolina statutes often protect the financial institution for paying an authorized signer, but that does not automatically resolve whether the withdrawal was proper between family members (especially if there are allegations of incapacity, undue influence, or misuse of authority).
  • Power of attorney issues: If someone acted as an agent under a power of attorney, the scope of that authority matters. Transfers that look like self-dealing or “gifting” can be challenged depending on what the document allowed and what the facts show.
  • Will disputes do not automatically freeze accounts: A will contest (by itself) does not necessarily stop transactions on non-probate assets like survivorship accounts. Separate court relief may be needed to preserve funds.
  • Record preservation is critical: Waiting can mean statements are harder to obtain, checks are harder to trace, and the money is harder to recover. Early requests for records and a clear timeline often drive the outcome.

For more on emergency steps to preserve property while a probate dispute is pending, see stop a relative from taking or spending estate assets before probate is opened and whether the bank can freeze or close accounts during the estate process.

Conclusion

In North Carolina, a properly documented joint bank account with right of survivorship usually passes to the surviving account holder at death and is not controlled by the parent’s will, although certain estate claims can sometimes reach a portion of the funds. Money can sometimes be moved out if a person had signing authority or other access, which is why the account paperwork and transaction history matter. The most important next step is to open the estate and promptly seek court relief to preserve records and funds if transfers are ongoing.

Talk to a Probate Attorney

If a parent died and there are concerns about joint accounts, last-minute changes, or money being transferred before the situation is sorted out, our firm has experienced attorneys who can help explain options and timelines under North Carolina law. Call us today at [CONTACT NUMBER].

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: Probate Q&A Series

Author: Pierce Law

Pierce Law Group is a North Carolina law firm focused on probate administration, real estate partition matters, and surplus funds claims across North Carolina. We know these situations often come with stress, family dynamics, and time-sensitive decisions—so we prioritize clear communication, steady guidance, and a practical plan from day one. Our goal is to make a complicated process feel manageable, while protecting what matters most to you.