Probate Navigator

Question: Are there any banks or financial institutions demanding Letters Testamentary or Letters of Administration before releasing estate assets?

The number one rule in banking is to only pay out once. Thus, before a bank, insurance company, or other financial institution will release the decedent's assets to his or her heirs, the bank must ensure that another heir (under a different Will), is not going to request the same assets next week.

If there is a Will, then most banks will insist upon the probate of the Will and the appointment of an executor. The bank will then release the funds to that court-appointed executor or administrator. Stated another way, the bank may also demand "Letters Testamentary" or "Letters of Administration." This document is not just a letter from a judge.  These are the official documents that the court issues to the court-appointed fiduciary after receiving and approving an application for probate and the appointment of an executor.

On rare exception, a bank may forgive the requirement of an executor by releasing assets to one or two heirs named in the Will upon receiving a death certificate and certified copies of the Will and the court's order admitting the Will to probate.

Yes, the Decedent had money in a bank or financial institution and the bank or financial institution is unwilling to release the assets in the decedent's account until they receive Letters Testamentary or Letters of Administration.

No, the Decedent either did not leave money in a bank or financial institution or the financial institution is willing to release the assets in the account upon the receipt of a death certificate, and a certified copy of the decedent's will and an order admitting the will to probate.

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