Detailed Answer
When a Wisconsin resident dies, their assets often pass through probate—the court-supervised process that validates a will, appoints a personal representative and ensures proper distribution of assets. Accessing and withdrawing funds from a deceased person’s bank account depends on whether the account is a non-probate asset or must go through formal probate or a simplified small estate process.
1. Identify Non-Probate Assets
Some accounts pass directly to named beneficiaries or surviving joint owners without probate:
- Joint Accounts: Funds automatically go to the surviving co-owner.
- Payable-on-Death (POD) Accounts: The bank pays the named beneficiary on submission of a death certificate.
- Retirement and Life Insurance: These pay directly to designated beneficiaries.
2. Use the Small Estate Affidavit (Affidavit Procedure)
If the decedent’s personal property in Wisconsin is worth $50,000 or less and no real estate is involved, an eligible heir or the executor can use a small estate affidavit. Under Wis. Stat. § 854.01, you can present this notarized affidavit plus a certified death certificate to the bank and withdraw funds without formal probate. Wis. Stat. § 854.01.
3. Open a Formal Probate Estate
If the estate exceeds the small estate threshold or includes real estate, file a petition for probate in the county where the decedent lived. The court issues “Letters of Authority” (also called Letters Testamentary or Letters of Administration) appointing a personal representative under Wis. Stat. § 855.07. Wis. Stat. § 855.07.
4. Accessing and Withdrawing Funds
Once you have Letters of Authority, request a certified copy from the clerk of court. Present that along with the decedent’s death certificate to the bank. The bank must honor the personal representative’s request to access and withdraw funds for estate purposes, including:
- Paying valid debts and expenses.
- Filing required tax returns.
- Distributing remaining assets to heirs or beneficiaries.
5. Fulfill Fiduciary Duties and Finalize the Estate
The personal representative owes a duty of loyalty and care. Keep detailed records, notify creditors, file an inventory and accounting with the court, and distribute assets according to the will or Wisconsin’s intestacy laws. After distribution, file a final report and petition for discharge.
Disclaimer: This article is for informational purposes only. It does not constitute legal advice. Consult a licensed attorney in Wisconsin for guidance specific to your situation.
Helpful Hints
- Obtain multiple certified copies of the death certificate from the registrar of vital records.
- Request an account statement for each bank account held by the decedent.
- Verify whether each account is a joint or POD account to avoid unnecessary probate.
- If using a small estate affidavit, ensure the total value of personal property does not exceed $50,000.
- Consult the county probate court clerk for required forms and fee schedules.
- Keep clear records of all transactions and communications with creditors and beneficiaries.
- Consider hiring an attorney if the estate involves complex assets or potential disputes.