1. Detailed Answer

In North Carolina, families often face the task of winding up a loved one’s financial affairs after death. If the decedent’s total estate (excluding certain allowances) does not exceed $20,000, you may qualify to use the Small Estate Affidavit process under North Carolina General Statute § 28A-19-1 et seq. This streamlined procedure lets eligible heirs or beneficiaries collect and close bank accounts without formal probate administration.

Here is how eligibility works and how you can close a decedent’s bank account using the Small Estate Affidavit:

Estate Value Threshold

The combined value of all probate assets must not exceed $20,000. You calculate this by adding the fair market value of personal property and bank account balances on the date of death. Exclude the following allowances from this total:

• Family or homestead allowances as set forth in G.S. 28A-25-1 through G.S. 28A-25-3
• Exempt property up to $5,000 under G.S. 28A-41

No Personal Representative Appointed

You cannot use the Small Estate Affidavit if someone has already qualified and is acting as a personal representative (executor or administrator) of the estate. The affidavit procedure applies only when no formal probate case is open and no personal representative serves.

Waiting Period

You must wait at least 45 days from the date of death before presenting the affidavit to a bank or other financial institution. This waiting period gives creditors a chance to file claims if necessary. See G.S. 28A-19-2 for details.

Eligible Affiants

North Carolina law allows the following individuals to prepare and deliver the Small Estate Affidavit:

• The surviving spouse
• Next of kin under intestate succession
• Devisees named in a valid will
• Any person entitled to property distribution under a will or statute

How to Close the Bank Account

1. Obtain a certified copy of the decedent’s death certificate.
2. Complete the Small Estate Affidavit form. You can find a sample in G.S. 28A-19-2 (ncleg.gov/GS_28A-19-2).
3. Sign the affidavit in front of a notary public.
4. Calculate each asset’s value and list any existing debts.
5. Present the notarized affidavit, death certificate, and a photo ID to the bank.
6. The bank will release funds up to the $20,000 cap directly to you for distribution.

Important Considerations

• If multiple financial institutions hold the decedent’s assets, you may need separate affidavits for each.
• You must distribute the funds according to intestate succession rules (G.S. 29-14) or the decedent’s will.
• Creditors have 45 days from the date you file the affidavit to make claims against the small estate.

2. Key Takeaways

• Estate assets (excluding certain allowances) must total $20,000 or less.
• No personal representative can be appointed before using the affidavit.
• You must wait at least 45 days after death to file.
• Eligible affiants include surviving spouses, heirs, and devisees.
• Use separate affidavits if multiple banks hold the decedent’s funds.
• Follow intestate succession or the will when distributing proceeds.

Need Help Navigating the Small Estate Affidavit Process?

Closing a loved one’s bank account through the Small Estate Affidavit can save time and expense compared to full probate. If you have questions about eligibility, preparing the affidavit, or distributing assets, the probate team at Pierce Law Group can guide you through each step. Contact us today by calling (919) 341-7055 or emailing intake@piercelaw.com. Let our experienced attorneys help you settle your family’s affairs with confidence.