You’ve been named executor. The funeral is over. The bills keep coming — the mortgage, the utilities, the final medical statements — and you’re trying to figure out what to pay from where. Maybe a well-meaning relative said “just use mom’s checking account.” Don’t. The minute you’re named executor, you need a separate account in the estate’s name.
It sounds like one more chore. It’s actually one of the things that protects you most.
Why You Need One
An estate account keeps the money belonging to the estate completely separate from your personal money. Every dollar that comes in — final paychecks, refunds, account closures, the sale of a car — gets deposited there. Every estate expense — funeral costs, attorney fees, probate filing fees, debts paid to creditors — gets paid out of there.
That paper trail matters. As executor, you’ll eventually have to give the court an accounting of what came in and what went out. A clean estate account gives you that record automatically. Mixing estate money with your own (called “commingling”) is one of the fastest ways to get into trouble with the court or with beneficiaries who think you mishandled funds.
What You Need Before You Walk into the Bank
Most banks won’t open an estate account on a phone call. You’ll need to show up in person with documents that prove who died, who you are, and that you’ve been authorized to act for the estate. Typically that means:
- A certified copy of the death certificate — not a photocopy. Order extras when you request the original; you’ll use them for almost every closure and transfer.
- Letters testamentary or letters of administration — the court order that names you executor or administrator. Without these, the bank has no proof you can act on the estate’s behalf.
- A federal tax ID number for the estate (EIN) — not the deceased’s Social Security number. You can apply for one for free at IRS.gov in about ten minutes.
- Your own government-issued ID.
- Initial deposit funds — some banks require a small opening deposit. You can usually fund the account by transferring the deceased’s bank balances into it once it’s open.
The account is titled something like “Estate of [Name], [Your Name], Executor.” Checks made out to the deceased can be deposited into it. Checks owed to the estate go through it. Your personal account never enters the picture.
What to Do With It Once It’s Open
Use it for everything estate-related. Pay the funeral home from it. Pay the lawyer from it. Pay valid creditor claims from it. When the deceased’s individual bank accounts are closed, deposit the balances into it. When you sell the car or the house, the proceeds go in there too.
Keep a simple ledger alongside the bank statements — date, payee or source, amount, and what it was for. When it’s time to file the final accounting with the court or distribute assets to beneficiaries, you’ll have everything in one place instead of reconstructing it from memory months later.
One Thing People Get Wrong
Don’t use the deceased’s old accounts to pay bills, even temporarily. Once the bank knows of the death, those accounts should be frozen and eventually transferred to the estate account. Continuing to write checks from a personal account that legally belongs to the estate can look like unauthorized use, even when your intentions are clean. Open the estate account first. Move money into it. Pay from there.
When to Loop in a Probate Attorney
If the estate is small and uncomplicated, you can usually handle the account-opening step yourself. Bring your bank a probate attorney’s number if the estate involves real estate in multiple states, business interests, contested debts, or any beneficiaries who are likely to challenge how funds are spent. The cost of a couple of attorney hours up front is much smaller than the cost of cleaning up a commingled mess later.
The Estate bundle includes 16 step-by-step worksheets for executors — account closure trackers, creditor notifications, and a complete asset inventory worksheet to keep alongside your estate account ledger. Browse planning tools at lumeway.co.
A separate account isn’t bureaucracy. It’s the cleanest line you can draw between the estate and yourself.
This post is for informational purposes only and does not constitute legal, financial, or tax advice. Estate administration rules and bank requirements vary by state and institution. Consult a probate attorney or licensed professional for guidance specific to your situation.