Joint checking account

[mh34]

IL- My mother passed away and left as executor of her will. She was on Illinois medicaid. She rented a house, and had a car worth $400. I received a letter from the Public Aid office stating that they were putting a claim on her estate. I filed the will at the courthouse. Do they have a right to the cash in the checking account? Do they have a right to the life insurance policys' that left me as benificary? Also, I used the policys' to pay for the funeral expenses. Thank you for your help.

 

[BlondiePB]

Do they have a right to the cash in the checking account?

Was that not the account that was reported on her application for Medicaid benefits? Did you deposit any of YOUR money in this account?

Do they have a right to the life insurance policys' that left me as benificary?

Insurance policies do not go through probate when there is a designated beneficiary to claim the money.

 

[mh34]

RE: Joint Checking Account

Thank you for your fast reply. Yes that account information was given to Medicaid when she was approved for benefits. NO, I have never deposited money into the account. However, I had periodically sent her money. The form they sent is asking for the amount that was in the account upon her death. Can I take money out of the account now that Medicaid has a claim on her assets?

 

[BlondiePB]

Thank you for your fast reply. Yes that account information was given to Medicaid when she was approved for benefits. NO, I have never deposited money into the account. However, I had periodically sent her money. The form they sent is asking for the amount that was in the account upon her death. Can I take money out of the account now that Medicaid has a claim on her assets?

Medicaid has a valid claim against the account. Do not take the money out of it. When the papers were signed for Medicaid, that gave Medicaid the authorization to check the bank account. Removing the money will land you in some serious trouble. If all other final expenses are paid, then pay Medicaid the balance of the account. However, check first to determine if your mother's estate is responsible for any administration costs for probate and if those costs get paid with the money first. Then, the rest should go to Medicaid.

You may have to open an estate account with the money in the joint account.

 

[mh34]

RE: Joint Checking Account

Who pays for probate? All I have done, was file the will. I thought since all she had was a car worth $400 and $800 in a bank account that probate wouldn't be needed. I have no money for court costs. If I had to pay for that, then I would incur financial hardship since I am not employed, and a full time college student. I was just hoping since we were both on her checking account, I would have a claim to the money. I think I am confused now. I appreciate your help.

 

[BlondiePB]

Who pays for probate? All I have done, was file the will. I thought since all she had was a car worth $400 and $800 in a bank account that probate wouldn't be needed. I have no money for court costs. If I had to pay for that, then I would incur financial hardship since I am not employed, and a full time college student. I was just hoping since we were both on her checking account, I would have a claim to the money. I think I am confused now. I appreciate your help.

You are welcome. Since Medicaid is a creditor, they can open probate. Why don't you just fill out the form Medicaid wants you to do with a copy of the bank statement. Medicaid will tell you if they want the $800.00. If they do, send it to them. You really do not even have to file the will. If you think there may be other siblings who would question your mother's estate, go ahead and file it. Filing the will would, indeed, keep it in a very safe place.