The Short Answer

In Pennsylvania, a check payable only to a deceased person is generally treated as an estate asset, and banks/credit unions typically require a court-recognized personal representative (executor/administrator) to handle it. Practically, that usually means the financial institution will want proof of authority (Letters) and may require the check to be negotiated by the personal representative for deposit into an estate account rather than being endorsed as if the decedent were alive.

What Pennsylvania Law Says

When someone dies, assets titled solely in their name are typically part of the probate estate and must be collected and managed by the person the court recognizes as the estate’s representative. Financial institutions commonly will not accept deposits or withdrawals involving a deceased person’s funds unless a court-recognized representative authorizes the transaction, which is why the “right” endorsement and documentation often depends on whether an executor/administrator has been appointed and what the bank’s compliance rules require.

The Statute

The primary law governing this issue is 17 Pa.C.S. § 508.

This statute establishes that, absent a controlling written agreement, assets in a deceased member’s account are treated as estate property and the credit union must freeze the account and not permit deposits or withdrawals without authorization from a court-recognized representative of the estate.

Why You Should Speak with an Attorney

While the statute provides the general rule, applying it to your specific situation is rarely simple. Legal outcomes often depend on:

• Strict Documentation Requirements: Many institutions will not accept a deposit of a check payable to the decedent without Letters Testamentary/Letters of Administration and may require the payor to reissue the check to the estate or to the personal representative in that capacity.
• Burden of Proof: You may need to prove you are the court-recognized representative (not just a family member) before the institution will allow the funds to be negotiated into an estate account. See 17 Pa.C.S. § 508.
• Exceptions / Alternate Transfers: Some funds can be paid out under limited “no-estate” payment rules in certain contexts (for example, limited payments by a depository after death under specific conditions). See, e.g., 20 Pa.C.S. § 3101. Whether that applies to a particular refund check is fact-specific and can create liability if handled incorrectly.

Trying to handle this alone can lead to the bank rejecting the deposit, delays in accessing estate funds, or disputes among heirs/beneficiaries about who had authority to negotiate the check.

Get Connected with a Pennsylvania Attorney

Do not leave your legal outcome to chance. We can connect you with a pre-screened Probate attorney in Pennsylvania to discuss your specific facts and options.

Find a Pennsylvania Attorney Now

Disclaimer: This article provides general information under Pennsylvania law and does not create an attorney-client relationship. Laws change frequently. For legal advice specific to your situation, please consult with a licensed attorney.