What to do when a Heritage Bank account holder dies

The named beneficiary presents a certified death certificate and government-issued photo ID, and the bank releases that beneficiary's share directly, outside probate.¹

The surviving owner presents a certified death certificate and the deceased owner is removed from the account. This includes community property held with right of survivorship.¹

When an owner of a tenants-in-common account dies, the share "does not pass automatically to the surviving owner(s). Instead, it goes to the estate or other legal successor of the deceased owner." The account can still need a small-estate affidavit or Letters.²

When one spouse dies, half of the account belongs to the surviving spouse and the deceased spouse's half "will go to his or her estate and may be affected by a Will." The bank may hold that half and refuse transactions on it until the surviving spouse and the personal representative or heirs agree on its disposition.²

The successor trustee presents the trust agreement or Certification of Trust, the death certificate and trustee ID, and the account continues under the trust.¹

An account in one name with no POD and no survivor is an estate asset. It is collected with a California small-estate affidavit, or with Letters Testamentary or Letters of Administration from the California Superior Court.¹

A sole proprietorship or DBA account is legally the owner's personal property even though it carries a business name. It passes through the owner's estate.¹

A corporation, LLC or partnership account is not an estate asset, because the entity survives the owner. What passes to the heirs is the deceased owner's membership or stock interest.¹

The designated beneficiary presents a death certificate and photo ID and completes the bank's IRA beneficiary distribution paperwork. The IRA does not pass under the will.¹

Citizens Business Bank honors an existing Heritage CD or IRA rate and maturity period until maturity, but after conversion "an early withdrawal penalty of $25 + 1% of the amount withdrawn will apply on all Heritage Bank of Commerce COD and IRA accounts."³

The agreement adds a penalty of 1% of principal for a withdrawal in the certificate's first six days. A withdrawal that drops the balance below the required minimum closes the account, with the penalty charged on the closing balance.²

The published terms have no death waiver of the early withdrawal penalty. The grace period is two business days for terms of 29 days or less and ten calendar days for longer terms, after which the certificate renews automatically for the same term.¹

Boxes rented at former Heritage branches are now Citizens Business Bank boxes, accessible during banking hours, under the existing Heritage box agreement. Any co-renter may access or surrender the box alone and may appoint a legal representative, and the bank's liability for the contents is capped at $1,000.^{4, 5}

A deputy the deceased person appointed keeps access only "until we receive written notice that it is canceled, or proof of the death or legal incompetence of a renter." With conflicting claims to the box, the bank may refuse all access until it has satisfactory proof of each person's right.⁵

Trust administration for accounts continuing in trust, and probate and probate-avoidance matters⁶

"You agree to notify us immediately of the death or court-declared incompetency of any owner, authorized signer, or designated beneficiary on your account."²

The bank "may also freeze, offset, refuse, and/or reverse deposits and transactions (e.g., governmental or retirement benefit payments payable to the deceased) if an owner dies," so Social Security and pension credits issued for months after the death come back out of the account.²

"We may pay a check for ten (10) days after the date of death even if we know of the death, unless we are ordered to stop payment by a person claiming an interest in the account."²

If the bank has any question about who owns the funds after an owner dies, it "may freeze all or part of the account pending receipt of proof, satisfactory to us, of each person's right to the funds."²

With conflicting demands the bank may freeze and withhold payment, require every owner's signature, or ask a court for instruction at the customer's expense. It need not recognize an adverse claim unless the claimant posts an acceptable indemnity bond, obtains a court order, or the law requires it.²

Legacy Heritage accounts converted to Citizens Business Bank products on June 22, 2026, when the routing number became 122234149. Old Heritage checks and deposit slips remain usable, so a live account may show the old routing number and old account name ("Premium Plus Checking" rather than "Investment Checking").¹

Mortgages and home equity lines formerly serviced by Heritage are now serviced by Citizens Business Bank, and the rate and every other term of the original loan agreement carried through the conversion unchanged to maturity or the next contractual rate reset.¹