Detailed answer
Short answer: In Wisconsin, whether jointly held bank accounts and property pass automatically to a surviving co-owner or become part of the decedent’s probate estate depends on how the asset is titled and what legal transfer language was used. Joint accounts or property that are owned with a clear right of survivorship typically pass directly to the surviving joint owner and usually avoid probate. Assets without survivorship language, or assets owned only in the decedent’s name, generally pass under Wisconsin’s intestacy rules (the state’s laws for dying without a will).
How jointly held bank accounts are treated
Most banks treat a joint bank account as a nonprobate asset if it was opened as a joint account with a right of survivorship. Practically, that means when one joint owner dies the bank may allow the surviving owner to keep access after the bank sees a certified copy of the death certificate. Banks follow their own account agreements and state law when deciding whether a joint account is a survivorship account.
Key points:
- If the account has language or a bank form indicating it is a joint account with rights of survivorship (often called a “joint tenant with right of survivorship” or JTWROS), the surviving co-owner normally becomes the sole owner outside of probate.
- If the account was intended as convenience only (one owner put a second signature on the account so someone can pay bills), courts can look past the account title and treat funds as belonging to the decedent’s estate.
- If multiple owners exist, the bank’s contract and account records control what the bank will do immediately; disputes about true ownership can be litigated in probate or civil court.
How jointly held real property is treated
For real property, whether it passes automatically depends on the form of co-ownership on the deed:
- Joint tenancy with right of survivorship (or any deed that includes clear survivorship language) generally passes automatically to the surviving joint owner(s) and is not subject to intestate distribution.
- Tenancy in common or ownership that does not include survivorship language means the decedent’s share becomes part of the probate estate and is distributed according to Wisconsin’s intestacy law if there is no will.
What happens when there is no valid survivorship designation or no will?
If assets are not titled with survivorship rights (or if a bank or a court refuses to recognize survivorship), those assets will ordinarily be part of the decedent’s probate estate and will be distributed under Wisconsin’s intestacy rules. Intestacy sets out who inherits in priority order: surviving spouse, children, parents, siblings, and more remote relatives. For the exact statutory distribution rules, see Wisconsin’s intestate succession statutes (Wis. Stat. ch. 852): https://docs.legis.wisconsin.gov/statutes/statutes/852.
When joint ownership can still be challenged
Even when an account or deed names a surviving joint owner, other heirs or creditors can sometimes challenge the transfer. Common challenges include claims that the joint owner actually received the account or deed as a way to avoid creditors, or that the decedent did not intend to give the property away during life (arguments of fraud, undue influence, or lack of consideration).
Practical steps to take after a co-owner dies
- Get several certified copies of the death certificate from the funeral home or vital records office.
- Contact the bank(s) that hold joint accounts. Provide the death certificate and ask what they require to keep the account open or transfer ownership.
- Check how real estate is titled. Read the deed for survivorship language; check the county register of deeds if needed.
- If an asset goes to probate, contact the local probate court or a probate attorney to begin the estate administration process. Wisconsin courts provide probate information at: https://www.wicourts.gov.
- If there is disagreement among family members or concern about creditor claims, consult an attorney promptly.
When intestacy applies
If an asset is part of a probate estate and the deceased left no valid will, Wisconsin’s intestate succession statute governs distribution. The intestacy statutes set a fixed order of heirs and specific shares under different family situations. See Wis. Stat. ch. 852 for the full rules: https://docs.legis.wisconsin.gov/statutes/statutes/852.
Common misconceptions
- Myth: Putting someone’s name on my account always guarantees they get the money. Reality: How the account was created and the bank’s records matter; courts can overturn sham joint ownership.
- Myth: Joint ownership always avoids all taxes and creditor claims. Reality: Survivorship may avoid probate but does not necessarily shield assets from legitimate creditor claims or tax obligations.
Disclaimer: This article explains general principles of Wisconsin law and common outcomes. It is not legal advice. For advice about a specific case, you should speak with a licensed Wisconsin attorney who can review your documents and facts.
Helpful Hints
- Find identification documents: death certificate, deeds, bank statements, account agreements, and any beneficiary designations.
- Ask the bank for their written policy about joint accounts and what paperwork they require after a joint owner dies.
- Read deeds carefully. Survivor language must be clear to avoid probate.
- Keep in mind that bank employees can only act on what their records show. If you disagree with the bank, you may need probate to resolve ownership.
- Collect creditor statements quickly. Some creditors can file claims even if the asset passed by survivorship.
- If paperwork is missing or ownership is unclear, seek help from a probate or elder law attorney — especially when real estate or large sums are involved.
- Use official Wisconsin resources for courts and forms: Wisconsin Courts and the Wisconsin Legislature statute pages: https://docs.legis.wisconsin.gov.