Bank freezing money

What is the name of your state? MO
The person who I have caregiver for the last 5yrs has just passed away. I am benificary on the will and pod on the bank account. The bank is trying to hold the money saying I have to go through probate. He owes on a trailer that he bought in 94 and they have bacisally charged him only the interest all these years. He still owes $20,000. There is only $4000 in the account and he has nothing. I cannot pay the bills that are coming in because of the hold on the money. Can they do this.

tobieb said:

What is the name of your state? MO
The person who I have caregiver for the last 5yrs has just passed away. I am benificary on the will and pod on the bank account. The bank is trying to hold the money saying I have to go through probate. He owes on a trailer that he bought in 94 and they have bacisally charged him only the interest all these years. He still owes $20,000. There is only $4000 in the account and he has nothing. I cannot pay the bills that are coming in because of the hold on the money. Can they do this.

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You do need to open probate for the estate/will. Even though the bank acct. is POD if the acct. is with the same bank that he owes on the trailer to, they normally can take money in his acct. to use toward what is owed. Did he have any life ins. - who is the beneficiary? The life ins. would go to the named bene in the pol. to do with as they wish & passes outside the estate (as long as the estate isn't the bene) You are not responsible for bills in his name only - the creditors will make a claim against the estate. If there is not enough assets in the estate to pay all creditors, they will just not get paid. The bank is probably waiting to see if there is enough money in his estate to pay what is owed on the trailer before releasing the money in the acct.

It looks like you were just here asking questions about him, and he has passed. Sorry for your loss.

tobieb - I should have put it in my first post but I, too, am sorry for your recent loss.

Give a breakdown of the value of the estate--how much is in the account and how much is in the POD account?

Does the man have any other surviving relatives and are these relatives mentioned at all in the will? You must realize that the bank may be suspicious that you used undue influence to get the will written in your favor, although I don't think that happened since it appears that he liked you very much because of your care and that he wanted to reward you for your service. If the will is ok then you will receive the bulk of the estate.

You need to be taking the will to a probate attorney and having him review it to see if it meets the requirements of the law in your state and to find out whether any relatives would have any claim on his estate.

The POD account is yours automatically by right of survivorship because he probably set that up outside of the will--you need to get a probate attorney to get tough with the bank so that your check can be issued as soon as possible without needing the POD account to go through probate. Go ahead and let the probate attorney file the will for probate.

DANDY DON IN OKLAHOMA ([email protected])

Bank Freezing Money

I have know him for years. He and his late wife always told me there was no family. So my ex husband and I always had them to family dinners and gatherings. My kids grew up thinking of them as family. I found out in the last month that there is family. Half sister and cousins. I have met them and offered to turn POA and will over to them. They do not want that. They are really nice people and I have talked to them over this also. I am the only one in the will. The will was drawn up my his attorney. The money (and a dog that I have had to take) are about all that he has. The stuff in the trailer is not worth anything. I had started to clean up things but have decided not to do so. I have an appointment with his lawyer tomorrow. I am truly trying to give this to God and let his will prevail but it is really hard not to take it into my own hands.

That's good that you have an attorney. They can help you with your situation & answer any questions you might have. Another reason POD accts. are sometimes frozen at the death of the acct. holder is that some states & banks require proof that any state death taxes have been paid if due.