How Oregon Treats Joint Bank Accounts and Jointly Owned Property When a Person Dies Intestate

This FAQ-style guide explains what typically happens to jointly held bank accounts and jointly owned property when someone dies without a will (intestate) in Oregon. It is written for readers with no legal background. This is educational information only and is not legal advice.

Detailed Answer

When a person dies without a will in Oregon, assets fall into two broad categories: non‑probate assets that transfer outside probate, and the probate estate that passes under Oregon’s intestacy laws. Which category an asset falls into determines what happens next.

1. Non‑probate transfers: what passes automatically

Certain jointly held assets typically pass outside of probate by operation of title or contract. Common examples include:

• Joint bank accounts with right of survivorship. If an account is titled as a joint account with rights of survivorship, the surviving co‑owner usually becomes the sole owner automatically when the other owner dies. Banks will typically require a certified copy of the death certificate and identification before changing the account title.
• Payable‑on‑death (POD) or transfer‑on‑death (TOD) designations. Accounts, securities, and some vehicle or real‑property registrations that name a POD/TOD beneficiary transfer directly to the named beneficiary outside probate.
• Retirement accounts and life insurance with named beneficiaries. Those pass to the named beneficiaries according to the contract or plan, not by the will or intestacy rules.
• Joint tenancy and tenancy by the entirety in real property. When real property is owned as joint tenants with a right of survivorship, or as tenants by the entirety (available to married couples in many situations), the surviving owner generally obtains full ownership automatically at death.

2. Probate assets: what intestacy controls

Assets that are solely in the decedent’s name with no valid beneficiary designation or survivorship right become part of the probate estate. Oregon’s intestacy statutes determine who inherits those probate assets. Oregon law sets the order and share of heirs (for example spouse, children, parents, siblings). For details on the statutory rules that govern distribution of an intestate estate, see Oregon Revised Statutes, Chapter 112: ORS Chapter 112 – Intestate Succession.

3. Practical consequences and common issues

• Title controls over intent. In Oregon, the way an asset is titled usually controls who gets it. That means a joint account or a deed showing survivorship will generally transfer to the survivor regardless of an unwritten agreement or the decedent’s informal statement of intent.
• “Convenience” accounts. Sometimes a person adds a relative to an account merely for convenience (for example, to help pay bills). If the account carries survivorship rights, the co‑owner may still become owner at the decedent’s death. In disputes, courts may examine intent and whether the co‑owner was a true owner or only an agent for convenience.
• Creditors. Even if an asset passes outside probate, creditors may still have claims. Banks may freeze accounts after a death while they verify the situation. Probate administration allows for notice to creditors and an organized claims process; non‑probate transfers may complicate debt collection and estate claims.
• Disagreements among survivors. When a survivor claims ownership of jointly titled property but other family members assert the asset belongs to the decedent’s estate, parties may need to resolve the dispute by negotiation, mediation, or court.

4. What to do when you encounter jointly held accounts or property after a death

Practical steps can reduce complications:

• Locate original account statements, deeds, and beneficiary designations.
• Obtain certified copies of the death certificate.
• Contact financial institutions and the county recorder for the deed to learn their document requirements to transfer title.
• Do not withdraw or redistribute funds immediately if other heirs or creditors might have claims. Premature distribution can create liability.
• If the estate looks small, check whether Oregon’s probate process for small estates or simplified administration applies. Oregon Judicial Department’s probate resources are a good starting point: Oregon Judicial Department — Probate.
• Consider consulting an Oregon attorney experienced in probate and estate matters if ownership disputes, significant assets, or creditor claims appear likely.

Helpful Hints

• Check the exact wording on account and deed titles. Words like “with right of survivorship” or “as joint tenants” usually mean the property passes to the survivor automatically.
• Look for POD/TOD or beneficiary forms. These override intestate distribution for the asset in question.
• Gather multiple certified copies of the death certificate—banks and title companies often require them.
• Keep careful records of any transfers and of communications with banks or other institutions.
• If someone was added to a bank account only for convenience (to help pay bills), save documents that show intent, such as a written agreement or statements from the account holder—these can help in disputes.
• Remember that an asset passing outside probate does not always shield it from valid creditor claims.
• When in doubt, talk with a licensed Oregon probate or estate attorney before moving or spending jointly held funds.

Disclaimer: This article explains general principles of Oregon law and common practice. It is for educational purposes only and does not constitute legal advice. For advice about a particular situation, consult a licensed Oregon attorney.