Detailed Answer
Short answer: Yes—if an heir withdraws money from a parent’s bank account or uses a parent’s credit card after the parent dies, the estate can often try to recover those funds. What happens depends on how the account or card was set up (solely owned, joint, or payable-on-death), who had legal authority, and whether the withdrawals were authorized. The estate’s personal representative (executor/administrator) is the person who usually brings claims to get money back, and in some cases criminal charges may apply.
How account ownership affects recovery
Different account setups change who legally owns the money:
- Sole account in the decedent’s name: Money belongs to the decedent’s estate after death. Any withdrawals by someone other than an authorized representative are normally unauthorized and the estate may recover the funds.
- Joint account with right of survivorship: The surviving joint owner generally becomes the owner of the account immediately on the other owner’s death. Transfers to a joint owner are usually valid; the estate typically cannot recover funds that passed to the surviving joint owner by operation of law.
- Payable-on-death (POD) or transfer-on-death (TOD) designations: Funds pass directly to the named beneficiary and do not become part of the probate estate. Withdrawals by beneficiaries who are entitled to the funds may be valid; unauthorized withdrawals by others can be challenged.
Who can sue to recover the money?
In Tennessee, the personal representative of the estate (also called executor or administrator) has the legal authority to gather estate assets, pay valid debts, and sue to recover estate property taken by others. If no estate administration occurs, heirs may sometimes bring claims directly, but courts prefer claims to be handled through formal probate administration. For general guidance on probate and administration procedures, see Tennessee Courts’ probate resources: https://www.tncourts.gov/programs/self-help-center/estate-probate.
Common legal claims the estate can use
- Conversion or civil theft: If someone took funds they had no right to, the estate can sue for conversion (wrongful exercise of control) or for civil theft/restitution.
- Constructive trust or disgorgement: A court can impose a constructive trust over funds taken in bad faith so those funds are returned to the estate or to the correct beneficiaries.
- Breach of fiduciary duty or accounting: If a person tasked with managing the decedent’s money (for example, an agent under a power of attorney who acted after death) improperly withdrew funds, the estate can seek surcharge or removal and an accounting.
- Claims via probate process: The personal representative can demand bank account turnover, file suit in probate court, and list the claim as part of estate administration so creditors and heirs are properly notified.
Potential criminal consequences
Intentional misappropriation of money after someone’s death can lead to criminal charges (theft, fraud). Tennessee criminal laws addressing theft and related offenses are in the Tennessee Code—Title 39 (Crimes). The State can pursue criminal charges separately from the estate’s civil claim. See the Tennessee Code index at the Tennessee General Assembly website for the criminal statutes: https://www.capitol.tn.gov/.
Credit cards after death
Credit card liability differs from bank accounts:
- If the card was solely in the decedent’s name, the card issuer will typically close the account once notified of the death. Charges made after death by anyone who is not authorized can be disputed and may be fraudulent. The estate (through the personal representative) is responsible for valid charges made before death, paid from estate assets.
- If an heir continued using the card after the cardholder’s death, the card issuer and/or the estate may seek repayment. Unauthorized charges may be recoverable from the person who used the card.
Practical steps the estate or family should take right away
- Contact the bank and card companies immediately to report the death and request account freezes or transaction histories.
- Do not voluntarily return disputed funds without written advice from the personal representative or an attorney.
- Preserve evidence: copies of bank statements, transaction receipts, and any communications about the accounts or credit cards.
- If you are the personal representative, open estate accounts and demand turnover of estate property from anyone who took funds.
- Consider filing a civil action to recover funds and, if appropriate, report suspected theft to law enforcement.
Timing and statutes of limitations
Time limits for filing civil claims (like conversion) and for probate matters vary. Some claims must be asserted during estate administration or within state statutes of limitation. Because deadlines can be strict and facts matter, act quickly and consult a probate attorney. General probate and estate procedures are found in Tennessee’s statutes on estates and probate (Title 30 of the Tennessee Code): https://www.capitol.tn.gov/.
Hypothetical examples
Example 1 — Sole account: A parent dies with a bank account in their name only. An adult child withdraws $20,000 after the death and deposits it in their personal account. The personal representative can sue for conversion and seek return of the $20,000, plus any interest or damages.
Example 2 — Joint account (right of survivorship): A parent had a joint account with a child and the child withdraws funds after the parent’s death. If the account was a true joint account with survivorship rights, the child is likely the owner and the estate cannot recover the funds. If the joint account was a sham or the parent lacked capacity when the joint owner was added, the estate might challenge ownership.
How to proceed if you represent the estate
- Obtain certified copy of death certificate and letters testamentary/letters of administration from probate court.
- Demand account records and immediate turnover from anyone holding funds of the estate.
- If the person refuses, file a petition in probate or civil court to compel turnover and seek damages.
- Evaluate whether to pursue criminal referral if facts suggest intentional theft.
Resources: Tennessee Courts probate self-help pages: https://www.tncourts.gov/programs/self-help-center/estate-probate. Tennessee statutes on estates and criminal offenses are available through the Tennessee General Assembly website: https://www.capitol.tn.gov/.
Disclaimer: This information is educational only and is not legal advice. It does not create an attorney-client relationship. For specific legal guidance about a particular situation in Tennessee, consult a licensed Tennessee probate or estate attorney promptly.
Helpful Hints
- Act quickly: banks and creditors move fast—notify them and get records early.
- Identify the personal representative: only that person usually has standing to act on behalf of the estate.
- Gather documentation: statements, receipts, account agreements (look for POD or joint-title language).
- Don’t assume joint title always means valid transfer—ask an attorney if the change looks recent or suspicious.
- If you suspect theft, preserve evidence and consider both civil recovery and a law-enforcement report.
- Get legal help early—probate lawyers can file emergency motions to freeze accounts or recover funds.
- Keep beneficiaries informed—transparent estate administration reduces conflict and increases chances of resolving disputes without prolonged litigation.