- The estate trustee is the only person with legal authority to manage or distribute an estate, and the court's certificate gives that authority.
- Funeral expenses and debts are paid before the estate is distributed.
- Whether a specific account or asset is frozen depends on how it is held, so confirm the details before acting.
After a death with no will, many families discover that nobody can simply step in and use the person's bank account, sell the car or list the house. Bills keep arriving, the home still needs looking after, and it is not clear who is allowed to do what.
This article explains why access is limited, what kind of authority is needed, and what to do while you wait. It is general information, and the answer for a particular account or asset depends on how it was owned.
Why things feel frozen
The estate trustee is the only person with legal authority to manage or distribute an estate. When there is no will, nobody has been named to that role, so someone has to apply to be appointed. The court's certificate gives the authority to manage estate assets and pay estate debts.
Banks and other institutions generally want to see that certificate before they release funds held in the deceased's sole name. That is why an account can feel frozen even though no one has formally told you so. Being a close relative, or even the person who lives in the home, does not on its own give you that authority.
By law the deceased's property passes to and vests in their personal representative, who holds it as trustee for those entitled. Until someone is appointed, the property stays in a kind of waiting position.
Who can apply to be appointed
On an intestacy, administration may be granted to the person the deceased was married to immediately before death, or a person living with the deceased in a conjugal relationship outside marriage, or to the next of kin, or to both. The spouse or common-law partner usually has the first right to apply, and a close adult relative such as a child, parent, grandchild, sibling or nephew or niece can apply after them.
If there is no will, the applicant files a Consent to Applicant's Appointment as Estate Trustee (Form 74G, Part B), and a Renunciation (Form 74G, Part A) is needed from anyone entitled to priority who has not joined the application. A bond is also required when the deceased died without a will. The bond is for double the sworn value of the property unless a judge orders otherwise.
There are exceptions. A surviving spouse need not post a bond if the net value of the estate does not exceed the preferential share and an affidavit of debts is filed. A small estate also does not need a bond unless a beneficiary is a minor or incapable.
Bank accounts, house and car
| Asset | What to keep in mind |
|---|---|
| Bank account in the deceased's name | Funds are part of the estate, and the estate trustee holds authority to manage them |
| House | Real property can be sold to distribute or divide the estate, once there is someone with authority |
| Car | Treat it like other estate property: do not sell or transfer it until someone is appointed |
| RRSP with no named beneficiary | Paid to the estate and divided under the intestacy rules |
Some assets may not follow these rules. Property held jointly, or an account or plan with a named beneficiary, may be treated differently, and how depends on the exact wording and the facts. A lawyer can confirm how a given asset is treated.
For the house, real property that is not sold or conveyed within three years of death vests in the persons beneficially entitled under the intestacy, unless a caution has been registered. Do not rely on that timeline as a plan, since selling or transferring still needs the right authority.
Smaller estates and the tax
As of April 1, 2021, a small estate is one valued at $150,000 or less, and it can use the small estate certificate process with Form 74.1A and a draft Small Estate Certificate, Form 74.1C. This may shorten the process, though the facts of the estate matter.
Nothing is payable as Estate Administration Tax on estates of $50,000 or less. Above that the tax is $15 per $1,000, or part, of the value over $50,000, for certificates requested on or after January 1, 2020. An Estate Information Return is due within 180 calendar days of receiving the certificate.
What to do next
- Gather the death certificate and a list of accounts, property and debts.
- Look for any beneficiary designations or joint ownership, since they may change what is in the estate.
- Keep the home secure, insured and heated, and keep receipts for what you spend.
- Decide who will apply to be estate trustee and whether other family members must sign a renunciation.
- Do not sell, transfer or give away assets before the appointment.
- Speak with a lawyer about the bond and about which assets are actually in the estate.
Funeral and burial expenses are paid before the estate is distributed, so keep records if you pay them yourself.
Frequently asked questions
Why can't I get into my parent's bank account?
The estate trustee is the only person with legal authority to manage the estate, and the court's certificate gives that authority. Without a will, someone must apply to be appointed first.
Can I sell the car or house before I'm appointed?
You should not, because only the estate trustee has authority to manage or distribute the estate. Once appointed, the personal representative can sell estate property to distribute or divide the estate.
Who has the first right to apply?
The spouse or common-law partner usually has the first right to apply when there is no will. A close adult relative can apply after them, and the court may appoint the relative it considers most appropriate.
Do I need a bond?
A bond is required when the deceased died without a will. There are exceptions for a surviving spouse where the estate does not exceed the preferential share, and for small estates.
Sources
- Estates Act, R.S.O. 1990, c. E.21 (e-Laws) — Ontario e-Laws
- Ontario.ca – Apply for probate of an estate — ontario.ca
- Ontario.ca – Probate of a small estate — ontario.ca
- Estates Administration Act, R.S.O. 1990, c. E.22 (e-Laws) — Ontario e-Laws
- Ontario.ca – Administering estates — ontario.ca
- Canada Revenue Agency – RRSP (Prepare tax returns for someone who died) — canada.ca
Links go to official government, court and regulator pages. The law changes — confirm you are reading the current version.
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