What to do when a Heartland account holder dies

Completed by the named beneficiary. Provided at a branch.¹

The named beneficiary claims the funds directly on proof of death and identity, with no probate or court paper.¹

The surviving owner keeps the account; the deceased owner is removed on proof of death.¹

The successor trustee takes over on proof of death plus the trust documentation showing the successor's authority.¹

With no beneficiary and no joint owner, the account is frozen to the estate and needs Letters Testamentary or Letters of Administration, or, in Ohio, a probate court entry releasing the estate from administration.¹

The named beneficiary completes Heartland's IRA beneficiary claim paperwork and chooses a distribution method. This is a retirement claim, not a deposit claim.¹

An account "may be opened and maintained by a person or persons named as a trustee under a written trust agreement, or as executors, administrators, or conservators under court orders." The bank is not acting as trustee and does not monitor or enforce the trust or the letters.²

The deposit terms do not waive the early withdrawal penalty on death, and allow it to be charged against the entire balance on a partial early withdrawal.²

A box rented in the deceased person's sole name is opened under the branch's procedure and, where required, court authority.¹

A Heartland mortgage, HELOC or home equity loan remains a lien on the property and must keep being paid from estate funds.¹

For Kentucky, the deposit terms add: "We reserve the right to prevent withdrawal from this account upon the death of any owner until all required release-of-funds procedures are completed."²

Under the Kentucky Trust or Pay-On-Death Account clause, a named beneficiary can withdraw only once all persons creating the account have died, the beneficiary is living, and "any required release-of-funds procedures have been completed."²

Under the Ohio Trust or Pay-On-Death Account clause, a named beneficiary can withdraw only once all persons creating the account have died, the beneficiary is living, and "any required release-of-funds procedures have been completed."²

A corporate trustee or professional estate administration³

The deposit terms say: "You agree to notify us promptly if any person with a right to withdraw funds from your account(s) dies."²

The bank may continue to honor checks, items and instructions until it knows of the death and has had a reasonable opportunity to act on that knowledge.²

The bank may pay or certify checks drawn on or before the date of death for up to ten days after the death, unless someone claiming an interest in the account orders it to stop payment.²

An agent or authorized signer loses authority at death, but the bank may keep honoring their transactions "until receipt of written notice of owner's death and we have a reasonable opportunity to act on such notice."²

If the bank must reimburse the federal government for a benefit payment directly deposited into the account, it may deduct that amount from the account or any other account the person has with the bank, without prior notice.²

Heartland's ACH guide lists return codes R14 "Representative Payee Deceased" and R15 "Beneficiary or Account Holder Deceased," each with a 2-banking-day return window.⁴

If the account "becomes subject to a claim adverse to ... others claiming an interest as survivors or beneficiaries," the bank "may place an administrative hold on the funds" until a court resolves the dispute or it has satisfactory evidence the dispute is over.²

Disputes under the deposit terms are subject to mandatory binding arbitration.²

Heartland publishes two routing numbers: 044109336 for Heartland Bank, a division of German American Bank, and 083904563 for German American Bank. A pre-merger Heartland check or CD certificate showing 044109336 is still a live Heartland account.⁵