If our application has inconsistent net worth figures, how do we correct and resubmit it so processing continues? – North Carolina

Short Answer

In North Carolina estate administration, the “values” listed early in the process are usually estimates, but they still need to be internally consistent and match what the form is asking for. When a financial institution pauses an estate account application because “total net worth” and “liquid net worth” do not line up, the fix is usually to submit a corrected application package that (1) uses the same valuation date and definitions throughout, (2) explains what was changed, and (3) includes updated supporting documents showing the personal representative’s authority. Once the account is properly titled under the estate and under the personal representative’s control, the personal representative can generally sell securities and close the account as part of normal administration, subject to the estate’s duties and any court restrictions.

Understanding the Problem

In a North Carolina probate administration, a personal representative (executor or administrator) often must complete an estate account application with a brokerage or similar financial institution to move a decedent’s securities into an estate-controlled account. The question is how to correct and resubmit an application when the form shows inconsistent “total net worth” versus “liquid net worth,” and the institution has paused processing until the numbers are clarified. The key decision point is whether the corrected submission clearly matches the form’s definitions and supports the personal representative’s authority to act so the institution can restart processing.

Apply the Law

North Carolina probate practice expects a personal representative to identify the nature and probable value of the decedent’s property when applying for letters, and those early values are commonly estimates. Even though estimates are allowed at the beginning, the personal representative still has a duty to provide information that is accurate to the best of what is known (or can be found with reasonable diligence) and to keep filings and submissions consistent. In practice, when a third party (like a brokerage) flags inconsistent financial figures, the solution is usually a corrected submission that explains the inconsistency and provides consistent figures based on the same valuation approach and date, along with proof of the personal representative’s authority (letters) and any other documents the institution requires.

Key Requirements

Consistency with the form’s definitions: “Total net worth” and “liquid net worth” must be calculated using the institution’s definitions, and “liquid” should not exceed “total.” If the institution excludes certain assets (like real estate or retirement accounts) from “liquid,” the corrected figures should follow that rule.
Reasonable, supportable estimates: Early-stage probate values are often approximate, but they should be as accurate as reasonably possible and should not swing without a clear reason. Large changes later can trigger questions from the Clerk of Superior Court or beneficiaries, so documenting the basis for the correction matters.
Clear proof of authority and proper estate titling: The brokerage typically needs current letters (letters testamentary or letters of administration) and correct estate information so it can retitle assets into the estate or an estate account under the personal representative’s control.

What the Statutes Say

N.C. Gen. Stat. § 28A-6-1 (Application for probate and letters; required information) – Requires information in the application for letters, including the nature and probable value of the decedent’s property (often handled as a preliminary inventory).
N.C. Gen. Stat. § 132-1.10 (Confidential information in public records) – Limits use of Social Security numbers in court filings; many probate filings should not include more than the last four digits.

Analysis

Apply the Rule to the Facts: Here, the estate account application for the brokerage was submitted and then paused because the “total” and “liquid” net worth figures do not match. North Carolina practice allows estimated values early on, but the submission still needs to be consistent and defensible. A corrected resubmission should use one valuation date (often the date of death or the date the form requests), apply the brokerage’s definitions for “liquid” versus “total,” and include a short written clarification so the reviewer can see exactly what changed and why.

Process & Timing

Who resubmits: The personal representative (or the representative’s authorized agent, if the institution allows). Where: The financial institution’s estate/transfer or new accounts team (often a dedicated probate processing unit). What: A corrected estate account application (or the institution’s “correction” process), plus current letters testamentary/letters of administration and any required identity or tax forms for the estate. When: As soon as the inconsistency is identified so the application can be put back into the processing queue.
Clarify the numbers in writing: Provide a one-page “Net Worth Clarification” that states (a) the valuation date used, (b) what was included in total net worth, (c) what was included in liquid net worth, and (d) the reason the prior figures were inconsistent (for example, a transposition error or using different dates). Attach a simple worksheet if helpful.
Confirm the post-transfer plan: After the securities are moved under the estate’s control and the account is properly titled, the personal representative can generally liquidate securities and close the account as part of collecting and managing estate assets, paying expenses/claims, and making distributions, subject to any restrictions in the letters, court orders, or the governing instrument (if any).

Exceptions & Pitfalls

Mixing probate and non-probate property: Some forms ask for a person’s or estate’s “net worth” broadly, but probate practice separates estate property from non-probate property. If the institution’s form is really asking about the estate account applicant’s finances (or a guarantor’s finances), that is a different calculation than the decedent’s probate “preliminary inventory.” Clarify whose net worth the form is measuring.
Using different valuation dates: A common reason “liquid” and “total” do not reconcile is using one date for brokerage values and a different date for other assets or liabilities. Pick one date that matches the form and restate both figures using that same date.
Overstating “liquid” assets: “Liquid” usually means cash and assets that can be readily converted to cash without major delay. If the corrected liquid figure includes illiquid items (like real estate or closely held business interests), the institution may pause the file again.
Social Security number handling: Probate filings in North Carolina have limits on Social Security numbers. If the institution requests a full taxpayer identification number for account opening, provide it only through the institution’s secure channel, not in court filings or unsecured email.
Authority documents not current or not matching the application: If the letters are outdated, not certified when required, or the estate name/file information does not match the application, processing can pause even after the net worth correction.

Conclusion

In North Carolina probate matters, early estate values are often estimates, but an estate account application still needs consistent “total” and “liquid” net worth figures that match the form’s definitions and use the same valuation date. The practical fix is to resubmit a corrected application package with a short written clarification of what changed and why, along with current letters showing the personal representative’s authority. The next step is to submit the corrected package to the financial institution’s probate processing unit before any stated cure deadline.

Talk to a Probate Attorney

If a financial institution has paused an estate transfer because an application does not reconcile (including total vs. liquid net worth), our firm has experienced attorneys who can help sort out the correction, supporting documents, and timing so processing can move forward. 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.