What to do when a Bank OZK account holder dies

In every edition of the agreement, the beneficiary can claim only after all persons who created the account have died, and only if then living. What multiple surviving beneficiaries receive differs by state edition.¹

The balance belongs to the surviving owner or owners, subject to any prior pledge Bank OZK agreed to.¹

On a joint account held as tenants in common, the deceased owner's share goes to the estate, not to the co-owner. The agreement encourages owners to record in writing the percentage each contributed.¹

The successor trustee presents the trust agreement or a Certification of Trust, the death certificate and trustee ID. Opening a trust-titled account does not make Bank OZK a trustee or oblige it to monitor or enforce the trust or letters.¹

Under "Fiduciary Accounts," Bank OZK is not responsible for the actions of a fiduciary, including misuse of funds.¹

Multiple surviving payable-on-death beneficiaries take equal shares with right of survivorship. The Arkansas edition allows a single beneficiary that is not a person or one or more natural persons, and a beneficiary that is not a person must show proof of legal existence and/or good standing.²

Multiple surviving payable-on-death beneficiaries take equal shares without right of survivorship.³

Multiple surviving payable-on-death beneficiaries take equal shares without right of survivorship.⁴

The North Carolina edition keys its payable-on-death account to North Carolina's statute.⁵

On a North Carolina Personal Agency Account, the agency ends at the owner's death whether or not it was extended to survive incapacity. The agent is not a beneficiary and must stop transacting.⁵

The Florida edition sets what payable-on-death beneficiaries receive in its own "Rights at Death" clause.⁶

The Texas edition has no ownership clause. What survivors receive follows the account type the owner initialed on the Uniform Single-Party or Multiple-Party Account Selection Form.^{7, 8}

Accounts it holds or administers, and estates where it is named executor or personal representative⁹

Bank OZK issues a separate "Terms and Conditions of Your Account" for nine states (AR, FL, GA, NC, TN, TX, NY, SC, AL), and their ownership and payable-on-death provisions differ. The edition that governs is the one for the state where the account was opened, which can be a state the bank no longer has branches in.¹

The "Death or Incompetence" clause requires prompt notice when a person with a right to withdraw dies or is adjudicated incompetent. Until Bank OZK knows of the death and has had a reasonable opportunity to act, it may keep honoring the deceased person's checks, items and instructions.¹

Bank OZK may pay or certify checks drawn on or before the date of death for up to ten days after the death "unless ordered to stop payment by someone claiming an interest in the account."¹

Under the "Agency (Power of Attorney) Designation" clause, an agency on a single-owner account "is automatically terminated by the death of the owner." On a multiple-owner account it terminates "upon the death of the last surviving owner."¹

Bank OZK may apply funds in the account against any due-and-payable debt the owner owes it, without prior notice where the law allows. Where the debt arises from a promissory note, this can include a balance whose due date the bank has accelerated.¹

Setoff does not reach an IRA or similar tax-deferred account or a debt under a consumer credit card plan, and does not apply where "the debtor's right of withdrawal only arises in a representative capacity." An executor's or trustee's personal debt to Bank OZK cannot be taken from the account they administer.¹

If Bank OZK must reimburse the federal government for a directly deposited benefit payment, it may "deduct the amount of our liability to the federal government from the account or from any other account you have with us, without prior notice and at any time."¹

When a claim is adverse to "others claiming an interest as survivors or beneficiaries of your account," Bank OZK may "place an administrative hold on the funds in your account (refuse payment or withdrawal of the funds)" for as long as it believes reasonably necessary for a legal proceeding to decide the claim.¹

Under "Legal Actions Affecting Your Account," Bank OZK may freeze the account until a final court determination on a levy or garnishment.¹

Under "Legal Actions Affecting Your Account," Bank OZK may charge its fees and expenses, including attorneys' fees and its internal expenses, against the account. The Schedule of Fees lists a Garnishment/Levies fee of $100.00.^{1, 10}

Account Balancing Assistance is $20.00 per hour, and an Undeliverable Mail Fee of $5.00 applies per account per occurrence.¹⁰

The Schedule of Fees charges a dormant checking account $6.00 monthly after 12 months, and a dormant savings account $6.00 quarterly after 24 months once the balance is under $100. Texas accounts are exempt; in Georgia the fee is $5 per month for 12 months, with no charge after that.¹⁰