What Happens to a Bank Account When Someone Dies Without a Will?

The Legal Process for Bank Accounts
Joint Accounts: These usually bypass the estate. Through the "right of survivorship," the surviving holder gains full access once they provide a death certificate.

Sole Accounts: The bank will freeze the account upon notification. To release the funds, the bank typically requires a Grant of Letters of Administration if the balance exceeds a certain threshold (often $20,000–$50,000).

Letters of Administration: Since there is no Executor, the next of kin must apply to the Supreme Court to be appointed as the "Administrator." This process can take several months and must ideally start within six months of the death.

Who Inherits the Money?
In NSW, the Succession Act 2006 dictates the order of inheritance:

Spouse/De Facto Partner: Usually receives the entire estate.

Children: If there are children from a different relationship, the estate is split between the spouse and children.

Next of Kin: If there is no spouse or children, the order follows parents, siblings, then grandparents.

Immediate Practical Steps
Notify the Bank: This stops automatic debits, though banks will often release specific funds directly to a funeral director to cover burial or cremation costs.

Avoid Unauthorized Withdrawals: Accessing a deceased person’s sole account using their PIN or online banking is illegal and can lead to personal liability.

Losing a loved one is hard enough without the stress of "intestacy" paperwork. Falzon Legal can help you secure Letters of Administration and manage the bank's requirements.