New York: Jointly Held Bank Accounts and Property When Someone Dies Without a Will

Detailed Answer

Short summary: In New York, whether money or property passes automatically to another person when someone dies without a will depends on how the asset is titled. Assets titled with a clear right of survivorship (for example, a joint account labeled with survivorship language, a payable-on-death account, or property held as tenants by the entirety) usually pass outside probate to the surviving owner(s). Assets that do not carry survivorship rights become part of the decedent’s estate and are distributed under New York’s intestacy rules found in the Estates, Powers & Trusts Law (EPTL).

How jointly held bank accounts are treated

Bank accounts may be titled in several ways. The most common forms and the usual results on death are:

Joint account with right of survivorship (express survivorship language): The surviving joint owner(s) generally become the sole owner(s) of the account immediately on the death of the co-owner. Banks typically require the surviving owner to present the decedent’s death certificate and identification before releasing funds. If the account clearly shows survivorship words (for example, “John Smith and Jane Smith, joint tenants with right of survivorship”), the funds generally avoid probate.
Payable-on-death (POD) / “Transfer on death” designation: The named POD beneficiary can claim the funds outside probate once the bank is presented with a death certificate and beneficiary identification. POD designations are effective to pass the account directly to the beneficiary.
Joint account without survivorship language (tenancy in common style): If the account is set up so that each owner has a divisible share and there is no survivorship language, the decedent’s share becomes part of the estate and will be distributed under New York intestacy law unless the owner had a will directing otherwise.
Totten trust (“in trust for” on the account): A Totten trust is a common law arrangement where an account is titled in the name of one person “in trust for” a beneficiary. Totten trusts generally pass outside probate directly to the named beneficiary but are revocable by the account holder during life.
If title is ambiguous or the bank freezes the account: Banks may freeze an account when presented with a death certificate until they receive clear documentation (survivorship language or a probate appointment) or instructions from a court. That can delay access to funds even when a survivorship claim exists.

How jointly held real property and other property are treated

Real property and many kinds of personal property can be owned in different ways. The ownership form controls what happens on death:

Tenancy by the entirety (married couples): New York recognizes tenancy by the entirety for married couples. Property held this way carries an automatic right of survivorship: on the death of one spouse, the surviving spouse becomes the sole owner. This ownership form typically avoids probate for that property.
Joint tenancy with right of survivorship: If two or more people own property as joint tenants with right of survivorship, the deceased owner’s share passes automatically to the surviving joint tenant(s) and normally avoids probate.
Tenancy in common: If property is held as tenants in common, each owner owns a specific share. A deceased owner’s share does not automatically pass to co-owners; it becomes part of the decedent’s estate and is distributed under intestacy rules if there is no will.
Personal property without survivorship language: Items such as vehicles, furniture, and bank accounts titled only in the decedent’s name pass through the estate and are distributed under New York intestacy law.

Intestacy rules (how the estate is divided if there is no will)

If property becomes part of the probate estate because it has no survivorship designation, New York’s intestacy law controls who receives it. Broadly:

If the decedent is survived by a spouse and no children, the spouse generally takes the entire estate.
If the decedent is survived by a spouse and children (who are also the spouse’s children), the estate is divided between the spouse and the children under statutory rules.
If there is no spouse or descendants, the estate passes to other relatives (parents, siblings, etc.) according to the statute.

These distribution priorities are set in the New York Estates, Powers & Trusts Law. See EPTL § 4-1.1 for the statutory order of distribution: https://www.nysenate.gov/legislation/laws/EPT/4-1.1.

Practical effects and typical steps after a death

Obtain certified copies of the death certificate.
Contact the bank(s) and the county clerk/Surrogate’s Court to determine whether a probate proceeding (estate administration) is needed or whether survivorship or POD claims can be processed with documents.
If assets are clearly survivorship assets, present the bank or title holder with the death certificate and proof of identity to transfer title or possession.
If assets are part of the estate, begin probate or administration under the Surrogate’s Court rules so an executor or administrator can gather assets and distribute them under EPTL intestacy rules.

Common complications

Title is ambiguous or poorly worded, which can lead banks or registries to freeze assets until a court decides.
Disputes about whether the decedent intended survivorship versus a gift to the co-owner.
Creditor claims against the estate that must be resolved during probate even if assets otherwise pass to a surviving joint owner in some situations.
Accounts or property titled in a name that does not match the legal name on the death certificate (e.g., nickname vs. legal name).

Hypothetical examples:

Example 1 — Bank account labeled “A and B, joint tenants with right of survivorship”: When A dies intestate, B presents A’s death certificate and typically becomes sole owner of the account without probate.
Example 2 — Joint savings account labeled only “A and B” with unclear wording: The bank may freeze the account and require either a probate order or additional documentation; if the account is deemed a tenancy in common, A’s share could go through intestacy and be distributed under EPTL § 4-1.1.
Example 3 — House owned by married couple as tenants by the entirety: If one spouse dies without a will, the surviving spouse automatically owns the entire house; the house will not be part of the deceased spouse’s probate estate.

Where to look in New York law: The rules for intestate distribution are found in the Estates, Powers & Trusts Law (EPTL). For the statutory order of distribution see EPTL § 4-1.1: https://www.nysenate.gov/legislation/laws/EPT/4-1.1. Surrogate’s Court handles probate and estate administration in New York; procedures and local forms vary by county.

Disclaimer: I am not a lawyer and this is not legal advice. The information above is a general explanation of New York rules and may not apply to specific situations. For advice and help with specific accounts or property, consult a licensed New York attorney who handles probate, estates, or real property.

Helpful Hints

Gather the death certificate early — banks and title holders will ask for it.
Check how each asset is titled. The wording on the account deed or title usually controls who gets the asset.
Look for POD/beneficiary designations on bank, retirement, and investment accounts — those typically control regardless of a will.
If a bank freezes an account, ask what documentation they need; sometimes a short affidavit or small-claims/simplified probate route can release funds for funeral bills.
For real estate, check the deed to see whether it is tenants by the entirety, joint tenancy, or tenants in common.
If the estate is small, ask a New York probate attorney about simplified administration options to avoid full probate.
Act promptly about creditor claims and taxes; unpaid debts and taxes can affect the estate’s assets.
If family members disagree about title or survivorship, get legal help quickly — disputes escalate and can delay access to funds and property.
Keep clear records and copies of all communications with banks, title companies, and the Surrogate’s Court.

FastCounsel