How to transfer brokerage account assets into an estate checking account (Illinois)

Short answer: If the brokerage account did not pass automatically to a surviving owner or a named beneficiary, a court-appointed personal representative (executor/administrator) must collect those assets for the estate. The broker will usually require a certified death certificate, proof of the personal representative’s authority (letters testamentary or letters of office), and an estate bank account (using the estate’s EIN). Once the broker has that documentation, it can either transfer assets in-kind to an estate brokerage account or liquidate and wire funds into the estate checking account.

Detailed answer — step-by-step under Illinois law

This section explains the practical steps and the legal basis you will typically encounter in Illinois when you need brokerage assets moved into an estate checking account. This is educational information, not legal advice.

1. Confirm how the brokerage account is titled

• If the account is payable-on-death (POD) or has a transfer-on-death (TOD) beneficiary, the broker will usually pay that beneficiary directly without probate.
• If the account is owned jointly with rights of survivorship, the surviving joint owner typically gets the assets automatically.
• If the account was owned solely by the decedent with no beneficiary designation, the account becomes part of the decedent’s probate estate and requires collection by the estate’s personal representative.

2. If probate is required, obtain authority from the probate court

Under the Illinois Probate Act (the Probate Act, commonly cited as 755 ILCS 5), a circuit court appoints a personal representative (executor or administrator). The court issues official documents (letters testamentary or letters of office) that show the person’s authority to act for the estate. Brokers routinely require those letters before releasing or retitling assets. See the Illinois Probate Act: 755 ILCS 5 (Probate Act of 1975).

3. Get a certified copy of the death certificate

Brokers require a certified death certificate. Order certified copies from the vital records office or the county health department where the death occurred. The broker will not accept an uncertified photocopy.

4. Obtain an EIN for the estate and open an estate checking account

The estate is a separate taxpayer in many situations. You will typically need an Employer Identification Number (EIN) from the IRS to open an estate checking account and to handle estate tax reporting. You can apply for an EIN online at the IRS: Apply for an EIN.

Open the bank account in the estate’s name, usually formatted as: “Estate of [Decedent Name], by [Personal Representative Name], Personal Representative.” Keep a clear ledger of all incoming and outgoing estate funds.

5. Contact the brokerage’s probate or deceased accounts department

1. Call the broker’s probate department and ask for their specific requirements and forms.
2. Deliver the certified death certificate and certified letters from the probate court.
3. Provide the estate’s EIN and bank account info (routing and account number) if you want cash wired into the estate checking account.
4. Decide whether to transfer assets in-kind into an estate brokerage account or to sell assets and transfer cash. The personal representative must act in the estate’s best interest and follow any directions in the will and court guidance.

6. Broker processing and courtroom reporting

After the broker receives valid documents, it will either retitle accounts to the estate, transfer securities to an estate brokerage account, or liquidate assets and wire funds to the estate checking account. Keep copies of all broker communications and transaction confirmations. The personal representative will typically include those transactions in the estate inventory and accounting filed with the probate court per the Probate Act (755 ILCS 5).

7. When a full probate might not be necessary

Illinois has procedures that allow certain assets to be recovered or transferred without full administration in limited circumstances (for example, under small-estate rules or landlord/creditor allowances). Whether those options apply depends on the value and type of assets involved and on the account title. If the brokerage account is small and qualifies for a simplified transfer, the broker will outline what affidavit or alternative documentation they accept. Review the Probate Act and consult counsel if you think a simplified procedure might apply: 755 ILCS 5.

Common broker requirements (what you will likely need to provide)

• Certified death certificate (multiple copies are often requested).
• Court-issued letters testamentary or letters of office naming the personal representative.
• Personal representative’s government ID.
• Estate EIN (from the IRS).
• Estate checking account information (bank routing and account number) if requesting a wire transfer.
• Broker-specific transfer forms (transfer request, retitling forms, beneficiary claim forms).

When to hire a lawyer

Consider an attorney when third parties dispute the will, when beneficiaries disagree about selling assets, when the broker refuses to honor documents, or when you face complex tax or valuation issues. An attorney can prepare probate filings, obtain the necessary court letters, and advise on fiduciary duties.

Helpful Hints

• Make a list of all financial institutions and brokerage accounts as soon as possible.
• Ask the broker’s probate department for a written checklist of required documents.
• Order several certified copies of the death certificate early; many institutions request them.
• Keep an organized paper and digital file of every submission and transaction confirmation.
• Do not move or spend estate assets except to pay valid estate debts and expenses or as allowed by the court.
• Consider whether selling securities or transferring them in-kind best serves estate beneficiaries — document the rationale and get court approval if needed.
• If you need an EIN, use the IRS online application for immediate issuance in many cases.

Key legal reference

For the court authority that governs appointment and powers of personal representatives in Illinois, see the Illinois Probate Act, which lays out probate procedures, duties, and estate administration rules: 755 ILCS 5 — Probate Act of 1975 (Illinois).

Final notes and disclaimer

This article explains common steps and documents used in Illinois to transfer brokerage assets into an estate checking account. It is educational and does not constitute legal advice. Rules and broker practices vary. For a specific case, contact a licensed Illinois attorney or the brokerage’s probate department before taking action.