On October 16, 2025, I attended the Ontario Bar Association’s Trusts and Estates Law Program titled “Working with Banks and Trust Companies.” The panel featured insightful speakers from major financial institutions, including TD Wealth and Scotia Wealth Management, who shared practical perspectives on how lawyers can collaborate more effectively with banks during estate administration.
Understanding the Bank’s Perspective
One of the key takeaways from the discussion was that banks are not obstacles in the estate process, they are risk-management partners. Their internal policies and compliance obligations exist to protect estate assets and ensure that only authorized representatives have access.
In cases of intestacy, for example, financial institutions generally require probate before releasing funds because no individual has legal authority until the court makes an appointment. Even where a will exists, institutions may still seek probate if there is any uncertainty about authenticity or family dynamics.
Accessing Pre-Probate Funds
Panelists emphasized the importance of the pre-probate expense policies many banks have in place. These allow limited payments for funeral expenses, fees associated with obtaining probate, property taxes, or ongoing utility payments. Understanding these internal allowances can significantly ease the financial pressure on families while probate is pending.
Joint Accounts and Survivorship Rights
Joint accounts continue to generate confusion and disputes. The speakers reiterated that from the bank’s operational standpoint, ownership passes automatically to the surviving account holder, even though legal ownership may later be challenged through the courts under resulting-trust principles. Lawyers should therefore advise clients early about the difference between legal title and beneficial entitlement to avoid future litigation.
Corporate and Complex Estate Structures
Where estates involve corporate holdings or secondary wills, panelists noted that planning ahead, for instance, ensuring multiple directors or signing officers are in place, can prevent administrative standstills. Proper structuring minimizes the need for indemnities or additional bank approvals after death.
Serving Court Orders and Communicating with Banks
Once litigation begins, the best practice is to serve court orders directly on the institution’s estate department and local branches. Including a short covering letter or email confirming that the documents are being forwarded for legal review helps expedite the bank’s response and avoid confusion at the branch level.
This program reinforced that estate lawyers and financial institutions share the same objective: efficient, secure administration of assets. By anticipating banking requirements, preparing clear documentation, and maintaining open communication, we can minimize delays and better serve our clients during what is often a challenging period.
Attending this OBA session offered valuable insight into how institutions approach estate and trust matters, and it reaffirmed the importance of fostering collaborative relationships between the legal and financial sectors.
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