Detailed Answer
When a person dies owning funds in a bank account, Michigan law generally requires a court order or official letters to restrict access. If co-heirs refuse to cooperate, you must obtain documentation from the probate court to freeze or secure the decedent’s bank accounts.
1. File a Petition for Probate. Under Michigan Compiled Laws § 700.3301, you begin by filing a Petition for Probate in the county where the decedent lived. This petition asks the court to open the estate and appoint a personal representative. Link: MCL 700.3301.
2. Obtain Letters of Authority. Once the court grants the petition, it issues Letters of Authority under MCL 700.3702. These certified documents identify you as the personal representative and empower you to collect and secure assets. Link: MCL 700.3702.
3. Present documentation to the bank. Provide the bank with:
- A certified copy of the death certificate.
- Your Letters of Authority as personal representative.
- A surety bond if the court requires (MCL 700.3701).
- Your government-issued identification.
The bank must then freeze or restrict withdrawals pending estate administration.
4. Use Summary Procedures for Small Estates. If the total value of the estate falls below the small estate threshold (currently $23,000), you may file an Affidavit of Informal Probate under MCL 700.3405 instead of full probate. Link: MCL 700.3405. This process is faster and often sufficient to secure bank accounts.
5. Seek Temporary Relief if Necessary. In urgent cases, you can request Temporary Letters of Authority under Michigan Court Rule 5.122(C). The court may grant immediate access to preserve estate assets until full probate occurs.
Helpful Hints
- Verify the small estate threshold each year; it adjusts with inflation.
- Keep multiple certified copies of the death certificate; banks often require originals.
- Confirm with each financial institution whether they accept informal affidavits.
- File all petitions and affidavits in the probate court that handles the decedent’s estate.
- Maintain a clear record of account balances and transactions once you secure the accounts.
Disclaimer: This article is for educational purposes only and does not constitute legal advice. Consult a licensed attorney to address your specific situation.