Who gets the money in the bank when my mother in law passes away?

Full question:

My mother-in-law has $120,000.00 total in to separate banks. My sister-in-law has her name 2nd on both accounts, my wife was told that in the will everything monotarily would be divided equally between her and her sister. Someone told my wife that 2nd on the account gets the money unless the account #'s are listed in the will. We live in Ohio.

• Category: Wills and Estates
• Date: 04/07/2025
• State: Ohio

Answer:

The answer will depend on the nature of the account and its ownership. If someone is named as the beneficiary of a bank account, it is typically a payable on death account that passes outside the probate process and not inluded in the decedent's estate under the will. If the other person is named on an account as a joint account holder, they may take the property by right of survivorship automatically when the other joint owner dies. Ohio law presumes that after the death of the depositor, the assets in a joint and survivorship bank account go to the other holder(s). Historically, Ohio courts permitted an interested person to prove by clear and convincing evidence that the depositor actually intended the account to benefit someone other than the joint account holder(s). In such a case, the intent of the depositor would
prevail. In 1994, however, the Supreme Court of Ohio held that the way in which a bank
account is opened is conclusive. The intention of the deceased depositor is determined by the form of account chosen: ownership of a joint account created in survivorship form will be automatically transferred to the survivor. Conversely, ownership of a joint account which does not provide for survivorship will not be transferred to the survivor, but will become part of the depositor's estate to the extent that the depositor contributed to the account. Only where
there is evidence that the depositor did not freely intend to establish the account (for example, evidence of fraud, duress, undue influence, or lack of mental capacity on the part of the depositor) will a court consider distributing the account assets in a way not consistent with the form of the account.