Detailed answer — What you can do in Indiana when a family member is using a deceased parent’s bank account before appointment of a personal representative
Short answer: In Indiana, nobody (including a sibling) has authority to use a deceased person’s solely owned assets for estate administration unless the account ownership gives them a legal right (for example, a joint account with right of survivorship, a payable-on-death beneficiary, or a trust). If the account was solely in the decedent’s name, you can take steps in probate court to stop or unwind improper withdrawals and to protect estate assets even before someone becomes the official personal representative (administrator). The probate code sets out how an estate is protected and how a personal representative is appointed. See Indiana Code, Title 29 (Probate), for the governing rules: https://iga.in.gov/laws/2024/ic/titles/29.
How to tell whether your sibling had the right to use the funds
- Check the bank account title. If it was a joint account with right of survivorship or had a payable-on-death (POD) or transfer-on-death (TOD) beneficiary, the funds may pass outside probate and the joint owner or beneficiary can access them. If the account was solely in the deceased parent’s name, the money is generally part of the probate estate.
- Check for a trust. If the decedent had a funded revocable trust and the account belonged to the trust, the trustee (not a sibling) controls distributions under the trust terms.
- Power of attorney ends at death. Any authority a sibling had under a power of attorney normally stops when the principal dies; it does not authorize post‑death withdrawals.
Immediate steps to protect estate assets
- Secure documentation. Get copies of the death certificate, account statements, deed/mortgage documents, account signature cards, and any POD or beneficiary designations.
- Contact the bank. Ask the bank how the account is titled and request a ledger of recent transactions. Some banks will put a temporary hold on accounts when presented with a death certificate; others will permit limited payments (mortgage/utility) only when authorized by the court or by a surviving joint owner.
- Contact the mortgage company. Tell the lender your parent passed away and ask whether automatic payments or promises to pay are in place. Preventing foreclosure often requires coordination with the lender—if the sibling’s payments keep the account from being foreclosed, that fact may affect your decisions, but it does not automatically make the withdrawals lawful.
Legal remedies available before a personal representative is appointed
Indiana probate courts have tools to protect estate property from waste or improper removal before formal administration. Typical steps include:
- Filing an emergency petition with the local probate court asking for temporary relief (for example, an order to freeze the account or to prevent further withdrawals). The court can sometimes act quickly to preserve assets.
- Filing to open probate and asking the court to appoint a temporary or permanent personal representative. Once appointed, the personal representative has authority to recover wrongful transfers or bring claims for conversion or accounting on behalf of the estate. The probate statutes govern appointment and priority of personal representatives: https://iga.in.gov/laws/2024/ic/titles/29#29-1-7.
- Pursuing civil claims such as conversion, unjust enrichment, or accounting in the probate court or a civil court if the sibling wrongfully took funds that belonged to the estate.
Evidence the court will want
- Bank statements showing the withdrawals.
- Account title documentation and any beneficiary designations.
- Death certificate.
- Mortgage or creditor statements showing what the withdrawn funds paid.
- Communications (texts, emails, letters) showing the sibling’s representations about authority to use the funds.
Practical considerations and risks
- If the sibling is paying the mortgage and preventing foreclosure, a court may weigh the equities before ordering an immediate freeze. The court can fashion relief that protects the estate while minimizing harm (for example, requiring accounting and repayment into the estate rather than halting payments outright).
- Act quickly. Waiting can make recovery of money harder if funds are spent. Probate timelines and the creditor-claim period can affect estate assets and distribution.
- Be prepared to propose a reasonable short-term plan to the court (e.g., bond, accounting, or partial freeze) so the court can choose a practical remedy rather than an all-or-nothing approach.
How to start the formal process in Indiana
- File a petition to open probate in the county where your parent lived at death. The petition asks the court to appoint a personal representative. The relevant statutes about opening estates and appointment are in Indiana Code Title 29: https://iga.in.gov/laws/2024/ic/titles/29.
- If immediate protection is needed, ask the court for temporary injunctive relief or for appointment of a personal representative on an expedited basis. The court can order an account freeze or require the sibling to produce an accounting of withdrawals.
- If your interest is as an heir or beneficiary, state that status in the petition and request relief to protect your eventual inheritance.
When to hire a lawyer
Consider hiring a probate attorney if:
- The sibling refuses to provide account records or continue withdrawals despite requests;
- Large sums are at risk or there is a threat of foreclosure or immediate loss of value;
- Family conflict makes informal resolution impossible.
An attorney can file the proper petition in the probate court, request emergency relief, and, once a personal representative is appointed, pursue recovery or an accounting for the estate.
Key statutes and resources
- Indiana Code, Title 29 (Probate): https://iga.in.gov/laws/2024/ic/titles/29 — general authority for probate administration and appointment of personal representatives.
- Local county probate court website — for forms and filing instructions (search the county court where the decedent lived).
Disclaimer
This article explains general principles under Indiana probate law and is for educational purposes only. It is not legal advice. For help applying these principles to your specific situation, contact a licensed Indiana probate attorney.
Helpful hints
- Act quickly — preserve bank statements and death certificate copies now.
- Ask the bank in writing for the account title and recent transactions; keep records of your requests.
- Talk to the mortgage lender; sometimes they accept short-term payment arrangements while probate is opened.
- File to open probate in the decedent’s county if you want court authority to protect the estate.
- If you need emergency relief (freeze or accounting), ask the court for temporary relief as part of your petition.
- Keep communications civil and factual — courts prefer clear records over heated family arguments.