What to do when an Interactive Brokers account holder dies
Report the death to Interactive Brokers' Estate Processing
What happens to Interactive Brokers investment accounts after the account holder dies depends on how each account was titled. Beneficiary-designated and trust-owned accounts transfer directly. Accounts in the deceased's name alone go through the estate, and the executor or administrator works with Interactive Brokers' Estate Processing to claim the funds.
Death claim process
Here is the step-by-step death claim process at Interactive Brokers:
Filing a claim
- US and European accounts: estateprocessing@interactivebrokers.com
- Canadian accounts: estateprocessingca@interactivebrokers.com
- Hong Kong, Australia or Singapore accounts: estateprocessingapac@interactivebrokers.com
- IBKR's estate-account FAQ also gives estateprocessing@ibkr.com for notice of an account holder's death
- A certified copy of the death certificate
- A signed identification document (driver's license or passport)
- A Non-Probated Estate Action Form with instructions for delivery of the assets
- The notarized Transfer On Death - Beneficiary Distribution Form
- Email help@interactivebrokers.com with the account number and "Estate Processing" in the subject line. Only .gif, .tiff, .tif, .jpeg, .jpg, .png, .bmp and .pdf attachments are accepted
- Fax (312) 984-1017 with the account number in the subject line
- Postal: Interactive Brokers LLC, Estate Processing, P.O. Box A3770, Chicago, IL 60690-3770
- Overnight or courier: Interactive Brokers LLC, Estate Processing, 209 South LaSalle Street, 10th Floor, Chicago, IL 60604
Required Documents
- Death certificateA certified death certificate; estate processing begins when IBKR receives it.
- The beneficiary's identification document (driver's license or passport), for a named TOD beneficiaryA signed identification document.
- Non-Probated Estate Action Form, for a named TOD beneficiaryWith instructions for delivery of the assets.
- Transfer On Death - Beneficiary Distribution Form, for a named TOD beneficiaryNotarized, and sent with a certified copy of the death certificate.
- IB Account Application, if the beneficiary does not have an Interactive Brokers account
Forms Interactive Brokers issues2
- Transfer On Death - Beneficiary Distribution Form
Completed by the TOD beneficiary. Available to download. Must be notarized.1
- Non-Probated Estate Action Form
Completed by the TOD beneficiary. Sent by the institution on request.2
What happens to each kind of account5
- Joint account with survivorship
A Tenants with Rights of Survivorship or Tenancy by the Entirety account reverts to the surviving holder. IBKR says the disposition "will generally require the opening of a new individual account to transfer the assets".3
Unless the holders indicate otherwise, IBKR may presume a joint account is held as joint tenants with rights of survivorship; on a joint tenant's death the account vests in the surviving holders, without releasing the deceased holder's estate from liability.4
- Community property account
A Community Property joint account reverts to the surviving holder unless a valid will directs the disposition of the deceased holder's half otherwise.3
- Joint account without survivorship
Under Tenancy in Common, the deceased person's share passes to their heirs through a will or through the probate process rather than to the surviving holder.3
- Payable-on-death account
The TOD beneficiary asks IBKR to transfer the percentage of assets set in the Transfer on Death Registration Form & Agreement to the beneficiary's own Interactive Brokers account.1
A request to revoke a TOD registration is effective only if IBKR received and approved it before the account holder died.2
- Fiduciary account
IBKR "does not accept applications from existing estate accounts but will only create an estate account in the event of the death of an existing account holder".5
When IBKR creates an estate account for an existing account holder, "assets will only be distributed in the name of the estate and not to individual heirs".5
What Interactive Brokers's agreement and guidance say5
- Telling the institution
On the death of a joint holder, the surviving holder must give IBKR immediate written notice.4
- What it does when notified
On a joint holder's death IBKR may, before or after notice, start proceedings, require documents, retain or liquidate assets or restrict transactions as it deems advisable to protect itself against liability or loss.4
On receipt of a certified death certificate IBKR begins estate processing to determine the distribution of assets. "The process varies based upon account type, jurisdiction and other factors."6
- Debts owed to the institution
The estate of a deceased joint holder and each surviving joint holder are jointly and severally liable to IBKR for any debt or loss in the account or on its liquidation.4
- Who can get account information
IBKR gives processing instructions to verified estate administrators, heirs or beneficiaries.6
- Powers of attorney
If the account holder becomes incapacitated, the person holding the power of attorney contacts IBKR. The agent's rights depend on the document, and the agent gets access to the account once the power of attorney is formally established.6
Not in Interactive Brokers's published guidance3
- How long a claim takes
- Which court appointment document it accepts
- A phone line or phone-menu option for estates
Sources6
- 1.Transfer On Death - Beneficiary Distribution Form
- 2.Transfer on Death
- 3.What happens with a joint account if one of the account holders dies?
- 4.Interactive Brokers LLC Client Agreement, 3203 | 10 January 2025
- 5.How can I open an estate account with IBKR?
- 6.What happens to my account in the event of my death?
Interactive Brokers' Estate Processing can be reached by email at estateprocessing@interactivebrokers.com and fax at 1-312-984-1017 for questions throughout the claims process.
Sources
Data sourced from Interactive Brokers primary sources (19 pages reviewed). How we research.
Interactive Brokers death claims support
Estate Processing
Canadian accounts (email)
Hong Kong, Australia, or Singapore accounts (email)
TOD Beneficiary Distribution Form submissions (email)
Estate account notification, alternate address (email)
Fax
Mailing address
Website
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