The bank ended up selling the investments March 26, 27 and April 7 which ended in a $90 000 loss. (I'm in BC). The new mortgage require the pre-auth form to be from an account with my name as the administrator to my sister's estate. You can open an estate bank account after initiating probate and petitioning the court for formal recognition as executor or administrator. Even the bank manager was surprised they had no mechanism to inform clients. If you want to discuss the case with me, call my office at 79-221-5511 and make an appointment for a telephone conference at your convenience. I have received the probate, and can access to the Estate bank account, and wonder if I could just go to the bank and withdraw money for my reimbursement? An Estate account is a different kind of account - it is a new account opened after someone has passed away, into which the Executor deposits the deceased person's money, from which the Executor pays the deceased person's debts and bills, and from which the Executor ultimately distributes funds to . Can the estate lend money to the executor who pays interest on it to the estate at the same rate the money is now receiving in a GIC? Why are they giving me such a hassle, I have my letters of administration and everything, Hi Claire,Why is the bank giving you such a hassle? You can expect to lose about 30 - 40% of it in taxes.Shouldn't you have figured all of this out BEFORE you complained for months?Lynne. Is this really the case? If the judge is not fully satisfied with it, you may be directed to prove the will more formally.Lynne, Lynne,I hope you can help. It should list there what paperwork they need. Thank you. I paid the expenses (probate fees etc) personally as I was not allowed access to the funds. What's the real deal here? So i'm very confused. I've read many comments here that suggest that RBC may insist on a probated will, and I'm wondering if this process is truly necessary? Probate was approved in August and our attorney asked the bank to surrender all funds to their office in my name. There is still estate activities going through her bank account and I recently switched her mortgage company. Probate is slow because her state pension came from UK along with a small occupational pension. Let's say my sister's name is Jane Doe and I'm Sara Smith. Hi there If I was listed as executor as per cra but they dont give you anything to prove that, can I still open the account get the refunds from cra and close the account without this probate? Do I just issue cheques from the estate account and the cancelled cheque is proof? All he did was tell the banks that she had terminal cancer,(one bank employee stated she was told, he was consolidating my mother's assets, she called their lawyer, who told them it was okay to give him the money) and they released the money, prior to her death. You are the executor and you need to get control of this situation. Other terms for estate representative include estate trustee, executor, liquidator and administrator. 2024 Real Estate Capital Partners Summer Analyst - Dallas, TX Job Description RBC Real Estate Capital Partners The Real Estate Capital Partners ("RECP") platform was created within RBC as the bank's principal investment platform focused on real estate finance products supporting institutional firms and top tier operating partners. Do I still need to open up an estate account for tax reasons or other? I was advised around that time by the branch manager that an account estate should be opened by the first week of August.It is now August 8 and there is still no estate account. "Is that the case in every province or are their provincial differences? They will not liquidate any account of any kind worth $500,000 without either probate or Letters of Administration. The final distribution (to myself) was confirmed last year by my lawyer, and I have since acquired some of the major assets left to me. Estate accounts are subject to different reporting requirements than personal or business accounts. Our lawyer said there was no need to probate as the will clearly spells out who the beneficiary is and there is only the savings account which would be used to pay expenses and the rest to the beneficiary. Tell him in advance that you are coming in to collect a cheque for the full amount of funds and you expect it to be ready. Have I waited long enough and should I get a lawyer and start litigation including the passing of the accounts? TD bank estate account has not been closed and balance on the account has been in the estate account for seven years. My three sisters and I are the beneficiaries, however my mother had no assets and lived with us. Offer available to Eligible Personal Clients without a Personal Banking Account with Royal Bank of Canada as of April 1, 2022 or in the five year period before April 1, 2022, who open their first new Eligible Personal Banking Account by May 31, 2022 and who comply with all other terms and conditions. Does anyone know if they are obligated to move assets over to the estate account, before the probated will is received? Does this trust belong to my daughter, or is it part of the estate, and therefore to be caught up in limbo during the probate? Score: 4.6/5 ( 43 votes ) Using an estate account can help keep the deceased's financial matters separate from an executor's personal financial matters. Through the firm that handled my mothers taxes we have filed and received a refund for her 2017 taxes. It has been over 2 weeks now, I have not heard from the branch and I have no access to anything online.My question is why am I being denied any access what would be happening to the accounts that I can't access them and what is taking so long? He had power of attorney. Anyone can make a mistake but that's not a mistake; thinking they outrank the court is arrogance.As for not telling you about the problem they were having, yes, they should have told you. Those people actually DO know their way around estates really well. Thanks so much for your prompt and informative response. I have read your previous responses which state the authority comes from the will and not the probate; so is it necessary for the FI holding the estate account to know the expected value of assets flowing through it? You are the one with the liability and the responsibility so tell them to back off and let you do your job. We are currently dealing with RBC. I felt there was no need to probate. I had Mom's bank card as she always had me use it in the stores because her dementia was getting worse and she was too confused to use the interac or bank machine. Did the TD bank error in allowing this as she was only one of three executors? If you haven't wound up the estate in a year and there is no good reason for it, you could end up in a dispute with the beneficiaries and possibly in court.Lynne. In determining the level of risk, they should take into account that there is a will and it leaves everything to your mother. If a CRA refund is the only asset in the estate, talk to the bank and ask if probate is really necessary under the circumstances. The manager isn't available, and both of the assistant managers are unavailable. I now realize I should not have closed it as we have to do taxes next year. I have set aside more than enough to cover that expense. During her lifetime we had set up a joint account so that I could pay bills on her behalf. While I find this admirable in spirit, I am concerned as an executor whether executors can in fact make gifts that are not specifically covered in the will, especially as there are other residual beneficiaries involved. Thanks! An estate representative administers a deceased person's estate. However, to get the balance or the transactions, I have to call in and get whatever information I can. I'm not aware of anyone charging a fee of $350 for an executor's account either, so I can't explain the rationale behind it.As long as you have properly been appointed by the will as the executor, then the bank must release the funds to you. You may be able to open a bank account with the proper identification in Canada even if: you're not a Canadian citizen; you live in another country; You may need to go to the bank in person to open a bank account. I happen to be a beneficery, as well as my 3 kids. Other banks are also refusing to open estate accounts. However, an executor does have the right to use whatever bank he or she chooses, and it makes sense to go where you feel comfortable and have received good service. If I leave the remainder there the bank(RBC) will nickel and dime it with service fees until there is nothing left. Lynne, Hi Lynne,I am being assigned as an executor for my grandma's estate. As long as the executors are being reasonable and acting in good faith, they are carrying out their duty.Lynne. It has been a great help to our family.My question relates to your initial post at the top. My context for the question was a little different: an estate account with two trustees specified in the will who are to pay bills for someone in a house who is not being given direct access to the money. It seems somewhat ridiculous. When will the bank require some action on the account? His house is worth 500k. Is this an honour system, or does the bank verify estate accounts by looking at the will? I opinion, you don't go to RBC if you have a non-probated Will. (I was not asking any info on the account only about their requirements for an Estate Account) but she jumped on him immediately and would not listen. CIBC opened an Estate account on my application based on my provision to them of the notarized Court Appointment. It's under $75,000. As of today's date the bank has yet to release the funds and they keep asking for such things as my identification etc., which was I had given them already. Safe Deposit Boxes You will need the key to any safe deposit box so you can list the contents and access any important documents it may contain. Where do I even go for help on this? Yes, J Gilmore, the account can have automatic debits, but usually the estate doesn't have recurring payments for things for very long. I received a letter to say that Mom didn't qualify for the Canada Pension Death Benefit as she didn't pay in for enough years. Are you supposed to be supplying it? This declaration that the bank has mentioned are they getting that from somewhere? Again, square peg. That is why the bank won't help you. The mortgage has been paid from my father in laws account since he has passed in October. In particular, the bit about being listed as executor per CRA. Neither of those situations is ideal, but you can only work with the situation you're in.Lynne. What if there was a mortgage on the property (there isn't). These accounts are useful to avoid probate and are common in the US. I charge $400 for that.Lynne. I wish they had better training because they waste a lot of time for executors and lawyers. On to your question. It has now been a week, and funds have not been transferred. Since I am solely responsible for doing this, am I able to disburse some of the funds right away as long as enough is left in the account to cover income tax and any unpaid bills? Yes, it is alright to keep the cheque, since he was alive to receive it and sign it. These taxes are applied before the estate is distributed. Their process says I should have received a written agreement that is to be signed and returned to them. So with Mom's money and the estate cheque it would be around $5,000. Sure your mother is a qualified beneficiary but she wasn't named so it doesn't make any difference. Well, I posted the above,on July 16tth along with the other person who also had issues with Royal bank on July 8th. What do I need to do with this cheque? She has money due to her from the other UK source, but when I asked for the overseas sort code for her account I was told the deposit wouldn't be accepted because the account is not yet an estate account.Mylawyer tells me TD is even worse to deal with re estates, bottom line is check with a bank about their estate account policies before you have a bureaucratic nightmare on your hands. My mother died in Feb 2017 and her account was at RBC. but i have a tax refund cheque payable to the estate of xxxxx. If all is well, the probate order will verify the will is valid. My sister and I were listed as co-executors and my sister has since renounced her position as executor (legally documented with the lawyer that held my mothers will). I have generated expense report for the Estate, would that be sufficient for the bank to issue me payment?Thank you, You can repay yourself reasonable expenses without any prior approval from anyone. Any recourse with these morons? You don't have to wait until the will is probated. Yes, you should should go to the bank to set up an estate account, and no you shouldn't need probate to do that. There are debts owed (including this financial institution which is a tenant in one of the properties). I assume what is going on is that your husband was the sole owner of the funds. Now she will not agree to allow me to withdraw the 50% of funds from the estate account that I am entitled to. I have made sure his loan and funeral expenses have been paid for and any government cheques have been paid back. He died in Quebec, and the Public Curator there has handled all the paperwork. As the executor I am just starting the estate work. I could look at them online, print transaction records, and transfer funds in or out if necessary or as required. I have survivorship of this account. The only reason that some banks are still paying out joint accounts to the kids is that nobody has sued the banks yet. All decisions of joint executors must be made unanimously, so all three will have to sign all cheques.Lynne. Perhaps the house would fetch more if it were repaired and restored, but the executors will have to balance that off against the cost of repairs, the cost of insurance and property tax during that time, the odds that the market will stay strong, how much of a gain in price there is likely to be, and the patience (or lack of it) on the part of the beneficiaries. The estate accounts themselves are different from the original receipts, cheques, bank statements, etc. Any credit card debt or personal loan debt will be paid from the deceased's bank accounts before the account administrator takes control of any assets. Hello, I have a two-part question.I am the executor listed in the will of my deceased mother. This gets more frustrating by the day as I hear more and more stories of banks requiring random and irrelevant paperwork for estates.If they are being obstructive they obviously don't want your business so why not take it elsewhere. If that doesn't work, it would be way cheaper to courier the cheques to you to sign and send back, rather than fly there.Lynne. Or do you actually mean mirror wills? Every bank will have an estate department that deals with death and living wills. Other things might also flow through that estate account, such as the CPP death benefit. If I open an estate account and deposit the funds from both accounts(100,000) dos that account have to be probated? Therefore she can open the account, receive funds on behalf of the estate, pay bills etc all before she gets the probate.Lynne. THe big risk is, if a testamentary trust is involved, as there are deadlines that might be missed and taint the trust. Do I have to go open an estate account for,this one cheque. RBC has made a royal mess for me to contend with. Hello Lynn,I'm setting up an estate account for my mother. Lawyer Trust account and then endorse deposits to it and then disburse through it?Look forward to some feed back and thanks. Please help. The will called for my sister and I to each receive 45% of the proceeds and the other 10% would be distributed evenly among my sisters two kids and my two kids. After it is all said and done the money will be divided between all 5 of us. It clearly names me as the Estate Trustee. When you stepped down, I assume that you did so with the permission of the court, as that is the only legal way a person acting as executor can step down. Paying out of pocket should be the last resort. As of now he has 2000.00 in the estate account and I have a death benefit cheque to deposit. I am the executor of my uncle's estate. They did have one joint account. In order for that to happen, there has to be a will that appoints you. It's not because it's an investment account, but because of the value.Lynne. Two convenient options: Pay annually and save - $39.50 per yea The bank was very helpful ,CIBC, in not having me set up an estate account (funds in account under $3000) as I had a joint account due to his dementia where his money went in and his bills came out of. My question is when can I close the estate accounts? This meant the assets did not go through the Will, nor to my brother, yet all three banks released, the funds to my brother (2 banks, within hours of the day he and his daughter changed the POA to remove me, and just make it the two of them) it was almost a year, before my mother found out the POA had been changed, as she never asked for it to be changed. Doing otherwise is theft or fraud.Lynne. Payable on death accounts A bank account where a beneficiary is named is called a payable on death (POD) account. This bit about the banks not allowing executors to open an estate account until probate has been granted is relatively new, and only works for the bank. It's just an expense and a bother if it's not needed. Several expenses were incurred and paid from my own pocket while waiting for the probate to be granted. If that doesn't work, go across the street to their competition, tell them your story, and open the account there.Lynne. . My sister was POA for mom. Or I could simply present a copy of the Will to the financial institution that I am the executor? I would like to reference your site to them. What about interest, death, separation/divorce etc.2 - He has advised us it will take 4 years before money can be distributed since Canada and the Ontario Ministry of Finance have a 4 year window to assess/reassess estates. In some states and in some estate situations, estate accounts are restricted. My experience has been that they do not allow online access in other banks either.Lynne. It's always a guessing game.The duty on the executors is to examine all options and go with what makes the most sense to them. My dad passed away and has no will, no assets, no liabilities, no bank account. One lawyer told my mother, that she had a case against the three banks, but of course she was dying and had no money except for her pension, which he took, convincing her he had made a deal for my brother to return the money, and pay thousands in legal fees, to the lawyer. There is nothing else to pay out now. Yep. I am executor for an estate of someone who lived and died in Alberta. I went to deposit them and was told by CIBC that they drained the account and closed it 5 months after death? What kind of taxes will estate have to pay and can estate have an RRSP account?? I certainly know plenty of executors who have online access to their estate accounts. She had a will that named me executor. My mother's will has her 3 children as executors. He had no will. That is the worst thing he can do.Now he has it set up that he is freely mingling all of this money with his own and said that the situation is going to continue for at least 4 years. Are they allowed to do this? Her will states two executors joint. I don't know of any law that prevents a bank from rejecting any particular ATM deposit. I received a cheque made payable to the Estate of my son with my name as well. Hello Lynne,My mother passed away in February and I am a co-executor along with my brother. My Dad just died and he had 2 bank accounts with myself as co-owner with right of survivorship. I am not the executor, a relative who is a C.A. When I sold her house after she went into a nursing home, I invested the money in an Empire Life segregated fund contract as her financial advisor suggested. I am a retired Branch Manager from another financial institution, so her attitude did not sit well with me and basically this manger argued with me on the phone. The information contained in this report references market data from MLS boards across Canada. In particular, you should not have named yourself because someone working under a POA is not allowed to benefit from the position of POA (other than collecting a wage for the work, if allowed). In my view, you are doing exactly what is supposed to happen - even though the accounts are in joint names, you are treating the accounts as assets of the estate. Sometimes the bank will know about these, but sometimes you have to review old statements to figure it out. Is my only recourse to take her to court or at this point start litigation? I just received a govt cheque made out to the estate of my mom care of myself for her OAS payment. Hi Lynne: Great and informative blog.My husbands uncle died recently. There are no inheritance or estate taxes in Canada. It's quite possible that they will insist on probate. The bank has all information needed, and said that it should only take a day or two to have funds transferred. They will continue to do this until a beneficiary sues them. There were no investments just bank accounts in both our names, (my father and mine)so the money could pass seamlessly in the event of his passing. I am the sole executrix named in his will. Can the Courts force her to replace the lost bank draft? Thank-you Alyssa. Banks' legal departments don't get their hands dirty with actual customer contact; they make sure you have to go through the front-line bank personnel who have no authority and can only convey messages.Am I frustrated? I am executor of the will. I wasn't aware that they were doing that. I went through the lawyer for a probate. You don't need probate to operate an estate account.Lynne, I have been named as Liquidator of my ex-husband's estate. You don't have to wait for anything but the cheque to clear. Are you asking why you have to get probate (aka Certificate of Appointment)?Lynne. I would much rather deal with my Bank. Apparently the estate wing of the bank does not inform the local branch where the papers were scanned if there is a problem. My sister and I are co-executors of our fathers will. I suspect what they are talking about is that certain beneficiaries, such as spouses, usually have 6 months to make a claim against an estate, so executors usually wait out that time period. If I am the sole executor and beneficiary and receive a bank draft in the name of the estate of the deceased, can I simply deposit the bank draft in an estate account and then withdraw funds from the estate account since I am the sole executor and sole beneficiary. However in the last through s of her life when I could see the end was at hand I put as much available cash in this account because I knew joint accounts would avoid probate. And, there is no online documentation about Estate Accounts that I can find anywhere on the TD website.Is this normal? This might be repairing and restoring or it might not. Thank you. My mother being executor & beneficiary of all his assets, we did not think probate was necessary, so no application has been made. He had a will.. Ask them to pay the bill from his chequing account. Doing so is giving away money that belongs to other people. If you're currently a joint bank account holder, we can help you decide whether a joint account is the best option for you. Sorry.my question is actually can I deposit this cheque to my account or cash it? They don't give the retail branch staff any training and their policies are poorly understood and inconsistently administered. Either you were joint executors, or one was named executor and the other as alternate. No, no, no.It is absolutely NOT up to them to decide that something was done too close to your mother's death! DO any banks allow online access to an estate account? Just recently she sent everyone $50,000.00 cheques, from her bank account, so we could get some of the proceeds now rather waiting the 4 years.An Executor depositing Estate money into there own personal account just doesn't seem right! You can close it if you want to.You haven't said who the beneficiaries of the estate are. That's interesting. Also because the will has not been probated and I am not willing to go through the paper work and trouble to do so what are my options for closing this account next year. That's very heavy-handed of them! The 2nd was sent in September from a different lawyer and got "lost in the mail", it never occurred to me with the pandemic and my work to ask to pick it up, I also didn't clue in that she had changed lawyers for the 3rd time without telling me. Can my sister disburse fees from my fathers estate accounting to reimburse my brother for return air fare and to me for gas mileage, when we attended his rental to remove his belongings and sell his assets? Do I need to open up an estate account to transfer the money to myself. She isn't in the running here. I just found out that the bank where the estate accounts exist is increasing fees for idle/dormant accounts (which these are, essentially) and I'd like to avoid being nickel and dimed for service fees. However, that is none of the bank's business. I am the beneficiary to the residual. In her will, all three adult children are both equal executors and beneficiaries. I cant help but think that the financial advisor was incompetent and forgot to file the paperwork as I have been told too many conflicting stories. Will i need a letter of administration to open an estate account or will my bank let me sign a letter of indemnity? Make sure you have provided everything they asked for. I don't know what you've got in mind when you mention recourse. He was a financial broker and received commissions from the insurance company, These commissions are to continue to me but the insurance co. can only make them payable to my husband's name>(because they are only payable to a broker). Now the bank is on the hook for the full funds because they released the funds to the wrong person. In fact I never actually did this as she was quite capable herself. You may be named in a will as someone's estate representative. I have challenged them on this, and they keep telling me there is no estate department (I know this aint true, I have spoken with the estate department).
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