Detailed answer — who owns the money and how the estate can recover it

When a person dies in Massachusetts, ownership of their bank accounts and responsibility for their debts depends on the account type and how title is held. If someone takes money after the account owner’s death without legal authority, the decedent’s personal representative (executor or administrator) can usually try to recover those funds for the estate.

Key ownership rules

• Joint accounts with survivorship: If the account was jointly held with rights of survivorship, the surviving joint owner generally owns the funds immediately when the other owner dies. Those funds usually are not part of the probate estate.
• Payable-on-death (POD) / Transfer-on-death: A POD or beneficiary designation directs the bank to pay a named beneficiary directly. The funds typically pass outside probate to that beneficiary.
• Sole accounts: If the account was only in the decedent’s name and no beneficiary applies, the money belongs to the decedent’s estate and the personal representative controls it once appointed.
• Power of attorney: A power of attorney ends at death. Someone cannot lawfully use a POA after the principal dies to withdraw funds.

When an heir withdraws funds after death

If an heir takes money from a sole account after the owner’s death and lacks legal authority (for example, no valid appointment as personal representative, no survivorship right, and no POD beneficiary status), that withdrawal is unauthorized. The personal representative can seek recovery on behalf of the estate.

Legal tools available to recover funds in Massachusetts

The personal representative has statutory duties and powers to collect estate assets, preserve them, and pursue claims. See Massachusetts General Laws, Chapter 190B (Probate Code), which sets out the representative’s authority. For example, M.G.L. c.190B §3-803 authorizes a personal representative to take custody and control of estate property and to bring actions necessary to collect and preserve estate assets: M.G.L. c.190B §3-803. More general authority for the personal representative is set out at M.G.L. c.190B §3-801: M.G.L. c.190B §3-801.

Common recovery steps and remedies include:

• Informal demand: The personal representative or probate attorney sends a demand letter requesting return of the funds and documentation of transactions.
• Bank restoration: If the bank honored withdrawals after death without proper authority, the bank may reverse the transactions or freeze remaining assets while the estate sorts title. Provide a death certificate and letters testamentary/administration to the bank.
• Probate court remedies: The personal representative can petition the Probate and Family Court for relief — for example, an accounting, surcharge against the heir (reducing that heir’s share), or an order compelling return of estate property.
• Civil action: The estate can sue the heir for conversion, unjust enrichment, or related claims to recover sums taken without authority.
• Criminal referral: If facts suggest theft or larceny, law enforcement or the district attorney can investigate possible criminal conduct.

Credit card charges after death

Charges on a deceased person’s credit card fall into two categories:

• Authorized, valid charges: Charges made before death or by an authorized cardholder (for a joint card) may be obligations of the estate or surviving account holder.
• Unauthorized charges after death: Any charges made after death by someone who lacked authority (no appointment as personal representative, not a joint account holder) are usually unauthorized. The personal representative can dispute charges with the issuer and seek recovery through the estate’s claims process or civil suit.

Practical defenses an heir might raise

• They were a joint owner, or there was a valid beneficiary designation.
• They had a lawful reason to take the funds (for example, reimbursement for funeral expenses advanced, supported by documentation).
• They believed they had authority (for example, relying on a power of attorney that was valid before death but not after death — note that POA ends at death and is not a valid post-death authority).

Timing and evidence

Act quickly. Preserve bank records, statements, receipts, and any communications. The probate process and civil remedies have time limits and procedural rules. The personal representative will need clear evidence to show which withdrawals occurred and whether they were authorized.

How to respond immediately — practical next steps

1. Obtain an official death certificate and provide it to the bank immediately.
2. Contact the bank and ask them to freeze the account or provide a transaction history.
3. Collect documents: bank statements, account agreements (joint account language, POD designation), check images, ATM receipts, and any written authorizations.
4. If you are or will be the personal representative, file or open a probate estate at the Massachusetts Probate and Family Court and seek appointment (letters testamentary or administration).
5. Send a written demand to the person who withdrew funds asking for immediate return and accounting.
6. If the person refuses, consult a probate attorney to discuss filing a petition in Probate Court or a civil suit for conversion/unjust enrichment.

If you are not the personal representative but believe funds were taken improperly, tell the person named as executor or the court. If no representative exists yet, an interested person (heir, creditor) can ask the court to appoint one.

Helpful hints

• Keep copies of everything. Bank records and written communications are the strongest evidence.
• Check account title language. Words like “joint with right of survivorship” or “payable-on-death” control how funds pass.
• Remember that a power of attorney ends at death. Any post-death withdrawals made under a POA are generally invalid.
• If the bank acted improperly (for example, paid out after being shown a death certificate), the bank may share responsibility to restore estate funds.
• Act promptly. Delay can complicate recovery and raise defenses like laches or the assertion that funds were spent in good faith.
• Consider mediation if the amount is modest and the parties want a quick resolution without court expense.