Executor Duties With Estate Bank Accounts and Safe Deposit Boxes in BC

After a death, one of the first practical questions for an executor is how to deal with the deceased's bank accounts and safe deposit box. You need to know what is there, but you may not yet have the paper that institutions want to see.

This article explains in general terms how access usually works in British Columbia, what an executor should and should not do before and after probate, and where it is worth getting advice.

This article covers the law of British Columbia.

Your role with the money

A deceased person's estate vests in the personal representative once that person takes office or is appointed. Until then, it vests in the court if there is no executor or no will. A personal representative has the same authority over the estate as the deceased would have had, subject to the will and to other laws.

In practice, institutions often want proof of that authority before they deal with you. A grant of probate or administration gives the personal representative exclusive authority to administer the estate.

Before probate: finding and listing what exists

An executor's basic duties include listing all assets and debts. An applicant for a grant must also make a diligent search and inquiry for the deceased's property and liabilities. Accounts and any box are part of that search.

• Gather recent statements, mail and online records to identify banks, credit unions and investment accounts.
• Note account balances as of the date of death, since estate value matters for later steps.
• Look for loans, credit cards and other debts.
• Contact each institution to ask what it requires from an executor.
• Keep a written record of every call and document you receive.

Before the grant, many institutions will tell you what they will and will not do. Each sets its own policy, often a maximum amount it will release without a grant of probate. Ask what that threshold is rather than assuming.

The safe deposit box

How a safe deposit box is opened depends on the institution and its own procedures, so ask what it needs from you. The box may hold the original will, insurance papers, property documents or valuables.

Even if you believe you already hold the original last will, an applicant for probate or administration must submit an Application for Search of Wills Notice. The application must include two certificates showing the results of the wills notice search. Anything you find should be added to your list of assets.

After probate: using and closing accounts

With a grant in hand, you can generally present it to institutions and deal with the accounts as personal representative. You are managing money for others, so keep estate funds clearly separate and records complete.

Be careful about paying beneficiaries too early. A personal representative must not distribute the estate within 210 days after the grant is issued, unless the court orders otherwise. There are exceptions, such as consent from all beneficiaries with an interest and everyone who could bring a wills-variation claim. An executor who distributes while debts remain unpaid may be held personally liable for them.

What to do next

If you are unsure how to handle an account or a mistake has happened, you are not left without options. A court may excuse a trustee wholly or partly from personal liability for a breach of trust if they acted honestly and reasonably and ought fairly to be excused. An executor may also petition the court for its opinion, advice or direction on a question about managing the estate.

• Do not move or spend estate money for your own benefit.
• Ask each institution in writing what it requires.
• Keep copies of everything you send and receive.
• Speak to a lawyer if an institution refuses to deal with you or if there is a dispute over an account.

Frequently asked questions