Detailed Answer

When a person dies without a will (intestate) in South Carolina, what happens to their money and property depends on how each asset is owned or titled. Some assets pass automatically to another person by operation of law. Other assets become part of the decedent’s estate and are distributed through probate under South Carolina’s intestacy rules. This section explains the common situations and the practical steps survivors should expect.

1. Assets that commonly pass outside probate

Certain ownership arrangements and beneficiary designations typically transfer the asset directly to the surviving owner or designated beneficiary without going through probate:

• Joint accounts with right of survivorship — Bank accounts and investment accounts titled jointly (for example, as joint tenants with right of survivorship or similar wording) usually pass directly to the surviving joint owner when one owner dies. The surviving owner will normally present the bank with a certified copy of the death certificate and identification to take control of the account.
• Payable-on-death (POD) or transfer-on-death (TOD) designations — If an account or security names a POD or TOD beneficiary, the asset passes to that named beneficiary outside probate.
• Life insurance and retirement accounts — Proceeds go to the named beneficiary on the policy or plan, not to probate, provided a valid beneficiary designation exists.
• Property held in a trust — Trust assets are distributed according to the trust document and generally avoid probate.

2. Jointly owned real estate and the importance of the form of ownership

How real property passes depends on the legal form of ownership:

• Joint tenancy with right of survivorship: If the deed creates a joint tenancy with right of survivorship, the surviving joint tenant usually becomes the sole owner automatically at death, and the property does not pass through probate.
• Tenancy in common: If the property is owned as tenants in common, each owner has a separate share that becomes part of the deceased owner’s probate estate and is distributed under intestate succession if there is no will.
• Other special arrangements: Life estates, community property-like arrangements (not strictly applicable in South Carolina), and deeds with transfer-on-death provisions follow their own rules and documentation requirements.

3. Property that goes through probate (intestate succession)

Assets that do not have a survivorship owner or a named beneficiary will generally become part of the decedent’s probate estate. South Carolina distributes intestate estates according to state law. The probate court appoints a personal representative (often called an administrator when there is no will) to collect assets, pay valid debts, and distribute the remainder to heirs under South Carolina’s intestacy rules. For the specific statutory framework, see South Carolina Code Title 62 (Probate) and the chapters on descent and distribution: Title 62 — Probate and Chapter 2 — Descent and Distribution.

4. Typical sequence after a death when an asset is jointly held

1. Bank or institution is notified of the account holder’s death.
2. If the account has survivorship language or a valid beneficiary, the institution will request a certified copy of the death certificate and identification for the survivor/beneficiary; the asset is released outside probate.
3. If no survivorship or beneficiary applies, the institution may freeze the account and require probate paperwork (letters of administration or letters testamentary) before releasing funds.
4. If the asset is part of the probate estate, the court-supervised or unsupervised probate process determines the estate’s creditors and distributes remaining assets according to intestacy statutes.

5. Creditor claims and debts

Whether assets pass by survivorship or through probate can affect how creditors are paid. Probate gives creditors a formal chance to make claims against the estate. Assets that pass directly to a joint owner or beneficiary may still be reached by certain creditors in some circumstances (for example, joint-account holder’s creditors or in fraud/transfer challenges), so it is not always absolute immunity from claims.

6. When disputes or uncertainty arise

Common issues that lead to disputes include challenges about whether a joint account truly had survivorship intent, claims by putative heirs, competing beneficiary designations, or allegations that transfers were made to defeat creditors. In those cases, interested parties often need a probate court determination or civil litigation to resolve title or distribution questions.

7. Where to start practically

If you are handling the affairs of someone who died intestate, start by:

• Locating the death certificate.
• Gathering account statements, deeds, titles, insurance policies, and any documents showing account titling or beneficiary designations.
• Contacting banks, financial institutions, and the county probate court to learn what documentation they require to access or transfer assets.
• Considering whether the estate will require formal probate (and, if so, contacting the probate court or an attorney) or whether small-estate procedures might apply.

For an overview of South Carolina’s probate and intestacy framework, see Title 62 — Probate: https://www.scstatehouse.gov/code/title62.php.

Helpful Hints

• Do not assume a joint account owner always has full access immediately — institutions commonly require a death certificate and may request probate documents.
• Check every account statement and the deed for wording that indicates survivorship, POD/TOD designation, or tenancy type.
• Keep an organized file of the decedent’s documents: death certificate, bank statements, deeds, trust documents, and beneficiary designations.
• If the estate appears small or all property passes by survivorship/beneficiary designation, ask the probate court clerk about summary or small-estate procedures before opening a full probate case.
• Be cautious about withdrawing funds or selling jointly held property until you confirm legal ownership and creditor exposure.
• If family members disagree about ownership or distribution, consider consulting a probate attorney early to avoid costly disputes.
• Remember creditors typically have a limited time to make claims in probate; the personal representative must follow statutory notice rules to limit personal liability.