Disclaimer

This article explains common legal steps under Vermont law for educational purposes only. It is not legal advice. Consult a licensed Vermont attorney before taking action.

Detailed Answer

When an appointed administrator (personal representative) closes a deceased parent’s bank account without telling heirs, several legal issues can arise: whether the account was truly a joint account with survivorship rights, whether the administrator had authority to act, and whether the administrator breached fiduciary duties or misappropriated funds. In Vermont these disputes are handled primarily in probate court and sometimes in civil court.

1. First facts to check (what you need to confirm)

• Account ownership language: Review the bank signature card or account agreement to see if the account was a true joint account with rights of survivorship. A survivorship joint account usually vests full ownership in the surviving joint owner at the moment of death.
• Probate filings: Check whether a probate estate has been opened and who the court appointed as administrator or personal representative. The probate court issues letters testamentary or letters of administration that give official authority. Contact the probate clerk or search filings online.
• Bank actions and records: Obtain written confirmation from the bank describing why the account was closed, who requested closure, and whether the bank relied on probate documents (like letters) or other documentation.
• Inventory and accounting status: Determine whether the administrator has filed an inventory or account with the probate court as required for estates in Vermont.

2. Immediate steps you should take

1. Collect documents: death certificate, account statements, signature card, any communication from the bank, and probate filings (letters of administration/testamentary).
2. Request an accounting: Ask the administrator in writing for a full accounting of the account and any distributions from it, including dates and recipients.
3. Contact the bank in writing: Ask for the bank’s records of who authorized the closure and copies of any forms they used.
4. Preserve evidence: Save emails, texts, and physical mail related to the account or the estate.

3. Legal remedies available in Vermont

Depending on the facts, heirs can pursue several remedies in probate court and, if necessary, civil court:

• Demand and compel an accounting. Probate courts supervise administrators and can order them to file inventories and accountings. See Vermont probate rules and Title 14 of the Vermont statutes for the probate process: Title 14 — Vermont Statutes.
• Petition for removal or surcharge. If the administrator misused estate assets, the court can remove the administrator and surcharge (financially hold them liable for) losses caused by improper acts.
• Turnover or injunctive relief. You may ask the probate court to freeze remaining estate assets or to order the return of funds already taken, especially where there is a risk of dissipation.
• Civil claims. If an administrator converted funds (took money for personal use), heirs can pursue a civil action for conversion or breach of fiduciary duty in superior court.
• Criminal referral. Where theft is apparent, you can report suspected criminal conduct to law enforcement, who may investigate possible theft or fraud.

Practical places to start in Vermont: contact the Probate Division of the Vermont Judiciary for procedural information and to locate filings: Vermont Judiciary — Probate.

4. What to file in probate court (typical petitions)

• Petition to compel accounting or to obtain an inventory (ask the court to require the administrator to provide records).
• Petition to surcharge or for removal of the administrator (if you have evidence of misconduct).
• Emergency motion for injunction or turnover (if assets are being dissipated).

5. Timing and urgency

Act quickly. Estates and financial transactions have time-sensitive rules. Banks may disclose transactions only for limited periods. Statutes of limitations and probate timelines can bar claims if you delay. If the administrator is spending estate assets, ask the court for emergency relief.

6. Evidence that supports your claim

• Bank statements showing withdrawals or transfers.
• The account signature card or account agreement showing ownership language.
• Correspondence from the bank confirming who authorized the closure.
• Probate filings, letters of administration, and any inventory or lack thereof.
• Written communications from the administrator about distributions.

7. When to involve law enforcement

If preliminary evidence shows the administrator knowingly took funds for personal use, made false statements to the bank, or acted with criminal intent, report the facts to local law enforcement. Law enforcement can investigate criminal theft or fraud while probate court addresses civil remedies.

8. Hiring a Vermont attorney

A probate or estate litigation attorney can:

• Review documents and advise whether the account was survivorship or estate property.
• Draft and file probate petitions (accounting, removal, surcharge, emergency relief).
• Represent heirs in hearings and, if necessary, civil or criminal referrals.

Even if you cannot hire counsel immediately, many Vermont attorneys offer brief intake calls or limited-scope representation to help file an urgent probate petition.

Helpful Hints

• Confirm account type early. A survivorship joint account typically passes automatically to the surviving joint owner. If the deceased’s name remained on the account, the bank’s records will show the account type.
• Request bank documentation in writing. Banks are more likely to cooperate when heirs make written requests and cite probate oversight.
• Check for existing probate filings. The court file will show whether an administrator has been appointed and what authority they hold.
• Preserve digital evidence. Download statements and save emails and texts. Print and date-stamp all physical mail.
• Act fast on unusual withdrawals. If you spot suspicious transfers, ask the bank to place a hold or to flag the account for review and contact probate court about emergency relief.
• Document communications. Keep a simple timeline of conversations, who said what, and when. That timeline helps both attorneys and the court.
• Consider mediation. If the administrator made an honest mistake, mediation can be a faster, cheaper way to resolve repayment and accounting disputes.
• Get local help. Probate practice varies by county. A Vermont probate attorney knows local judges, clerks, and expected procedures.