Small Indignities of Daily Life for Agents and Survivors When Dealing with Banks…

One of the more frequent categories of problems I receive calls about come from family members, usually in the role of agents under POAs or on decedents’ estates, coping with the need to close-out small accounts in banks or other financial institutions.  Usually the reasons for the transfers are sad — serious illness or death of the original depositor.  The survivors can’t really afford attorneys. Satisfying the banks’ or financial institutions’ requests for “proof” of their right to access the accounts can be frustrating.

I’ve come to know lawyers who represent both local banks and national banks, and I know the banks are frustrated too.  Tim Hoy, a graduate of Dickinson Law who specializes in banking law in Pennsylvania, and I have often talked about the fine line between respecting the wishes of the original depositor and making sure that the money is transferred or the accounts are closed with proper authority.

One variation on a theme, reported recently, demonstrates an sad encounter.  The widow’s husband passed in January, and she was finally feeling safe enough and strong enough to do some clean-up work on her husband’s very small estate.