My sister and I are on her will to inherit 50% of her remaining estate. When I became a joint owner of her bank account; they told me that I could not inherit my share and have my sister designated as POD. How will I handle the remainder of her account when she passes?
I was a joint holder of my Mom's account. Her will designated each of her children (8 us altogether) as heirs to her property. Upon her death, I paid all remaining bills and distributed the balance in the account 8 ways.
You POA ends at the death of your mother. It pertains only to a living person. You will no longer pay anything nor sign anything as POA.
Upon your mother's death the executor of the will takes on the powers formerly belonging to the POA. If that is you, then you will take on the role of distributing the estate as your mother requested, and all other legal and financial matters.
Once my Dad had passed the job of POA no longer is needed. Now it becomes the job of the Executor to which I had been named. I had to take that checking account and close it..... open up a new account that read "Estate of _______". From that account any legit bills that came I would pay. Bills for Dad's credit card, medical bills, etc.
I needed to wait until after Probate was completed before I could inherit anything in Dad's Will/Trust.
After my mom died (the last one to go), technically the account became mine, but as their estate was to be split 50/50 between my brother and myself, I'll just write him a check for half the balance and take the other half for myself.
It didn't need to be in writing -- it was the right thing to do.
Your POA designation ends at death. I would think that now, probate follows the will, however the will can only designate what is actually left over in her estate. If bank account transfers to sister at death, it probably won't be part of her 'estate' (because it already belongs to someone else).
This is definitely a question to address with the atty when you probate will.
I would not pay a lawyer. A bank officer should know what the State Law is. You may need to do what Frequent said and transfer the money to an estate acct. Once probate is done, then you split it.
I'm inclined to think the bank gave them incorrect information. It may have come from bank thinking a POA is authorized to 'help' with financial decisions and would be a conflict to inherit assets toward yourself by using a POA. I'm sure that happens all the time with children who are angling toward cutting other siblings out of the pot of gold. An attorney in that state could sort it out.
Hopefully the siblings get along and can sort all the assets out fairly by splitting it all down the middle.
a joint account automatically becomes the sole property of the surviving account holder.
POD means pay on death and it only goes into effect when both account holders die.
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