What to do when a Salem Five account holder dies
Report the death to Salem Five's Customer Contact Center at 1-800-850-5000
When an account holder at Salem Five passes away, the next step depends on how the accounts were set up. Accounts with beneficiary designations or trust ownership transfer outside of probate. Accounts titled solely in the deceased's name require the estate's legal representative to work with Salem Five's Customer Contact Center (1-800-850-5000) to access and distribute the funds.
Death claim process
The death claim process at Salem Five works as follows:
Filing a claim
Required Documents
- Written instructions from every surviving beneficiary, for a pay-on-death accountThe whole balance is paid out on one day and the account is closed.
- Death certificate of any beneficiary who has died, for a pay-on-death account
- A notarized letter directing payment of the beneficiary's share, from a pay-on-death beneficiary who cannot come to a branch
- A valid death certificate, for an IRA to be paid to its beneficiaries
What happens to each kind of account4
- Joint account with survivorship
An account in more than one name passes to the surviving owners when one owner dies. The bank may act on instructions from any owner or an owner's legal representative, including to close or retitle the account or remove an owner.1
- Payable-on-death account
When the last owner of a pay-on-death account dies, the surviving beneficiaries share the balance equally, after any claims the bank has. The bank pays once it has written instructions from all of them, then pays everything the same day and closes the account.1
- IRA
An IRA is paid to the beneficiaries on its designation, and to the owner's estate when none is named or none survives. The bank owes beneficiaries nothing until it receives a valid death certificate.2
- Certificate of deposit
An IRA certificate of deposit allows principal to be withdrawn before maturity on the owner's death.3
State law on paying a balance without lettersMassachusetts
- Massachusetts
Mass. Gen. Laws ch. 167D, § 12
Massachusetts law permits a bank to pay from a deceased depositor's balance on proof the institution accepts, without letters testamentary or letters of administration.Mass. Gen. Laws ch. 167D, § 12Verified Oct 3, 2026View source
Limit: $10,000 held at the institution
When: after the expiration of 30 days from the death of such depositor
Paid to: the surviving spouse of said deceased depositor; if there be no surviving spouse, the next of kin of such deceased (in that order)
The section permits the payment. It does not require the bank to make it. The section sets further conditions.
Accounts handled elsewhere1
- Salem Five Wealth Management & Trust
Help after a death with reviewing documents and beneficiary designations, whether probate is needed and step-up in basis4, 5
Phone: 1-800-557-5004
Hours: Monday-Friday 8:30 AM-5:00 PM
What Salem Five's agreement and guidance say6
- Telling the institution
Salem Five does not have to tell a pay-on-death account's beneficiaries that an owner has died or that the account exists.1
- Debts owed to the institution
The bank may use money on deposit to pay any debt the owner owes it, due or not, and may take a joint account's whole balance for the debt of any one owner.1
- Holds and legal process
The bank may follow any legal process it believes valid, such as an attachment, levy or restraining order, and holds and turns over funds as the process directs.1
- Dormant and unclaimed accounts
Pay-on-death funds nobody claims are turned over to Massachusetts. A checking, savings or money market account with no owner activity for twelve months and an average balance under $250 is charged a $5.00 monthly inactivity fee.1, 6
- Arbitration
The agreement's arbitration clause binds an owner's heirs, representatives and beneficiaries, including pay-on-death beneficiaries.1
- Which state governs the account
The account is governed by federal law and the law of the state where it was opened; an account opened online counts as opened in Massachusetts.1
Not in Salem Five's published guidance7
- A department for deceased-customer accounts
- A claim form
- Whether the death certificate must be certified
- Which court appointment document it accepts
- An online way to report a death
- How long a claim takes
- A small-estate procedure
Sources6
- 1.Consumer Banking Services Agreement
- 2.Traditional IRA Individual Retirement Account Application (97 / 2300-T, Rev. 4/2020), Rev. 4/2020
- 3.IRA Account Disclosure (one year or greater)
- 4.Wealth Management
- 5.Get Started with Wealth Management
- 6.Consumer Banking Fee Schedule, Effective Date of September 1, 2026
Salem Five's Customer Contact Center can be reached by phone at 1-800-850-5000 for questions throughout the claims process.
Sources
Data sourced from Salem Five primary sources (41 pages reviewed). How we research.
Salem Five death claims support
Customer Contact Center
Phone
Hours
Mailing address
Website
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Forms for Settling an Estate
Free forms for settling an estate: the probate petition, small estate affidavit, notice to creditors, inventory, and closing forms.
Affidavit of Death
Put a joint owner's or a transfer on death deed owner's death on the land records with the affidavit your state's statute names, laid out for recording.
IRS Form 56
Notify the IRS that you are the fiduciary of an estate, a trust or a person, or end a notice filed before, on the official form.
Digital Assets Recovery Letter
Prepare a letter requesting a deceased person's online accounts, points, and balances from the program that holds them.
Petition for Probate and Letters
Open probate and ask the court to appoint you and issue Letters Testamentary or Letters of Administration.
Notice to Creditors
Notify estate creditors and start the claim period — the published notice plus mailed copies for known creditors.
Renunciation of Executor
Decline an appointment as executor named in a will — the writing filed with the court before anyone is appointed.
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