Detailed Answer
Disclaimer: This article offers general information and does not constitute legal advice. Consult an attorney for personalized guidance.
Under South Carolina law, a personal representative must manage estate assets responsibly and avoid mixing estate funds with personal assets. The South Carolina Probate Code § 62-3-613 prohibits commingling of fiduciary funds. Opening a dedicated estate account provides a clear audit trail, meets court requirements, and shields you from personal liability.
To open an estate account:
- Title it Estate of [Decedent’s Name], [County] County
- Deposit all estate income (e.g., sale proceeds, dividends) into this account
- Pay estate expenses (e.g., funeral costs, taxes) directly from this account
- Reconcile statements monthly and keep detailed transaction records
Accurate records streamline required filings like inventories and accountings. Failing to separate funds can lead to court sanctions and personal liability for mismanagement.
Helpful Hints
- Notify your bank you are acting in a fiduciary capacity to open the correct account type
- Retain receipts, invoices, and bank statements in a dedicated folder
- Provide periodic account reports to beneficiaries and the probate court
- Check if your probate court requires a bond or other security
- Seek professional advice for complex assets like investments or real estate