Challenging a Sibling’s Use of a Deceased Parent’s Bank Account in Texas — What to Know and Do

Disclaimer: This is general information, not legal advice. I am not a lawyer. For decisions that affect your legal rights, consult a licensed Texas probate or estate attorney.

Detailed Answer — practical legal overview under Texas law

When a person dies, money and accounts that were solely in the decedent’s name generally become part of the decedent’s estate unless the account has a beneficiary designation, a payable-on-death (POD) designation, or is a true joint account with rights of survivorship. If an account does belong to the estate, someone must be officially appointed by the probate court to manage and distribute those funds. That appointment gives the manager (executor or administrator) legal authority to make payments from estate accounts and otherwise handle estate assets.

If a sibling is taking funds from your deceased parent’s account before the court has appointed an administrator or issued letters testamentary, that person generally lacks legal authority to use estate funds. Unauthorized withdrawals or transfers can be challenged through civil claims (for conversion or unjust enrichment) and, in some cases, criminal statutes (for theft). Texas criminal theft law applies when a person unlawfully appropriates property belonging to another. See Texas Penal Code § 31.03: https://statutes.capitol.texas.gov/Docs/PE/htm/PE.31.htm#31.03.

On the probate side, Texas law sets out the procedures to open an estate, probate a will (if there is one), and appoint an administrator or executor. You can ask the probate court to begin proceedings and to appoint a person to act for the estate. See the Texas Estates Code chapter on commencement of administration (probate court procedures): https://statutes.capitol.texas.gov/Docs/ES/htm/ES.401.htm.

Typical legal responses and remedies available in Texas include:

• Asking the bank to freeze or restrict the account. Banks usually require a death certificate and proof of authority (letters testamentary or letters of administration) before releasing funds. If someone is withdrawing funds improperly, the bank can sometimes reverse or freeze transactions once it is notified.
• Filing a petition with the probate court to open the estate and appoint an administrator or executor. The court can then issue letters that authorize the appointed person to manage estate assets. You may request expedited handling if assets are being dissipated.
• Seeking emergency court relief. You can ask the court for a temporary restraining order (TRO) or temporary injunction to stop further withdrawals or transfers until the court resolves who has authority to manage the estate.
• Pursuing civil claims. After opening probate or in parallel, you can sue the sibling for conversion, breach of fiduciary duty (if they claim any role), or unjust enrichment and seek repayment plus court-ordered accounting of what was taken and how funds were used.
• Reporting potential criminal conduct. If funds were taken knowingly and without authority, you may report the conduct to local law enforcement or the district attorney for possible criminal investigation under Texas theft statutes.

Which path makes sense depends on the facts: whether the account listed a beneficiary or was joint, whether mortgage payments were reasonable or necessary to preserve the property, and whether the sibling claims authority (for example, a purported power of attorney that ended at death). Because banks and the court look at documentation, gather the account statements, any mortgage statements showing what was paid, the death certificate, the will (if any), and any written communications about the account.

Practical examples to illustrate

Hypothetical A — Sole account with no beneficiary: If the account was only in your parent’s name with no POD or joint-owner, those funds are part of the estate. Your sibling withdraws $10,000 to cover mortgage payments before the court appoints an administrator. You can ask the bank to freeze the account, file for probate and ask the court to issue temporary relief (an injunction) to stop further withdrawals, and then pursue the sibling for repayment or conversion.

Hypothetical B — Joint account or POD beneficiary: If the account was a true joint account with rights of survivorship, the surviving joint owner generally becomes the account owner automatically. If the account was POD to a named beneficiary, that beneficiary has the right to the funds outside probate. In those cases, a sibling’s access may be lawful depending on the account terms.

How to act quickly — step-by-step checklist

1. Collect documentation: death certificate, bank statements, mortgage statements, will, trust documents, any account agreements showing POD or joint owner.
2. Call the bank: inform them of the account owner’s death and ask what documentation they require to restrict withdrawals. Request transaction history in writing and ask the bank to preserve records.
3. File for probate/administration: open a probate case in the county where your parent lived. Ask the court for expedited appointment or temporary relief if assets are at risk.
4. Consider emergency court relief: ask for a temporary restraining order or temporary injunction if the sibling continues to withdraw funds.
5. Talk to law enforcement if the pattern suggests theft: provide bank records showing unauthorized transfers.
6. Consult a Texas probate attorney: an attorney can file the necessary motions, request recovery, and represent you in probate and civil litigation.

What to expect in court and potential outcomes

The probate court may appoint an administrator and order an accounting of estate funds. If the court finds the sibling took funds without authority, it can order repayment to the estate, remove or deny appointment of that person, and impose other remedies in civil court. Criminal charges are handled separately by prosecutors if the facts support theft or related offenses.

Helpful Hints

• Act fast. The sooner you preserve evidence and notify the bank or court, the better your chance to stop further dissipations.
• Don’t assume “paying the mortgage” is automatically lawful. Even reasonable payments can be improper if the payer lacks authority and those funds belong to the estate.
• Distinguish account types. A POD or beneficiary designation generally controls and avoids probate. A joint account’s rights depend on how it was titled.
• Get written records from the bank. Ask for copies of withdrawal slips and transaction histories and request the bank preserve surveillance or electronic records.
• If you live far away, use certified mail and keep copies of all correspondence to show you raised the issue promptly.
• Consider mediation or negotiation. If the sibling acted in good faith to prevent foreclosure, a negotiated accounting and repayment plan may avoid lengthy litigation.
• Keep emotions separate from law. Courts decide based on documentation and legal authority, not who meant well.

Relevant statute references (examples): Texas Penal Code — theft: Tex. Penal Code §31.03. Texas Estates Code — commencement of administration and probate procedures: Estates Code, Chapter 401. For precise provisions that apply to your situation, consult a probate attorney who can identify the exact statutory sections and local procedures.

If you want, I can outline the specific documents to gather and sample language to request that a bank freeze an account or to include in a petition to the probate court. I can also list how to find a probate attorney in your Texas county.