Arkansas — How to Verify a Bank Account Is Under the $20,000 Small Estate Limit

Disclaimer: This is general information, not legal advice. I am not a lawyer. For decisions that affect legal rights, consult a licensed Arkansas attorney or the county probate clerk.

Detailed answer — how to confirm whether a bank account counts toward Arkansas’s $20,000 small estate limit

Arkansas provides a short (informal) process to collect a decedent’s personal property when the total value subject to probate is small. To use that simplified process you must determine whether the decedent’s personal property that is subject to probate (not already passing outside probate) has a combined value at death of $20,000 or less. Follow these steps to verify whether a given bank account is counted and whether the total is under the $20,000 threshold.

1. Confirm what “counts” toward the $20,000 limit

• Only property that must pass through probate is counted. Items that commonly do NOT count include assets that pass automatically: jointly owned accounts with right of survivorship, accounts with a named payable-on-death (POD) or transfer-on-death (TOD) beneficiary, assets held in a valid trust, and many life insurance or retirement benefits that have designated beneficiaries.
• Bank accounts owned solely by the decedent, with no POD or joint owner, generally are probate assets and are counted.
• Personal property (bank accounts, cash, household goods, vehicles subject to probate) is included. Real estate often is not collectible under the small estate affidavit rules and may disqualify use of the short procedure if real property must be administered.

2. Get the decedent’s account records (balance at date of death)

To know whether a specific account keeps the total under $20,000 you need the balance as of the date of death (or an accurate valuation close to that date). Do the following:

1. Gather recent statements: locate the latest bank statements, online banking records, or printed passbooks. Statements that bracket the date of death (one before and one after) help calculate the balance at death.
2. Contact the bank’s probate or estate department. Tell them the account owner died and request the balance as of the date of death and a copy of the account ledger or statement showing activity. Most banks will provide this to a personal representative or to someone with a signed affidavit and a certified death certificate. Expect to provide a certified copy of the death certificate and evidence of your authority to request records.)
3. If you cannot get the bank’s help right away, total account deposits and withdrawals for the period and use the last known balance adjusted for any known transactions to estimate the date-of-death balance. Keep documentation of how you calculated the figure; if the matter goes to the clerk or court you will need support for your numbers.

3. Identify other assets that must be added to the total

Do not look only at one bank account. The $20,000 cap applies to the sum of qualifying personal property subject to probate. Check for:

• Other bank or credit union accounts in the decedent’s name alone
• Cash on hand, certificates of deposit in the decedent’s name
• Vehicles, household goods, jewelry and other personal property that must pass through probate
• Securities held in the decedent’s name without beneficiary designations

4. Subtract secured debts and check for creditor claims

Creditors’ claims and secured obligations do not reduce the statutory limit for qualifying to use the small estate procedure in all jurisdictions, but you should account for obvious liens and mortgages that affect whether administration is practical. If an estate has significant debts or secured claims, a small estate process may not be appropriate even if the gross asset total is modest.

5. Determine account ownership details

Ownership labeling matters. Common scenarios:

• “John Doe” alone — probably probate property and counted.
• “John Doe OR Jane Doe” — usually joint; check whether right of survivorship exists. If surviving co-owner has rights, asset likely avoids probate.
• “John Doe POD Mary Smith” — payable-on-death designation passes outside probate to Mary and does not count toward the small estate total.
• Trust account — if the account is titled in the trust name, it usually avoids probate and does not count.

6. Use the small estate affidavit only if all eligibility conditions are met

If the total value of probate assets is $20,000 or less and the estate meets any other statutory requirements for Arkansas’s simplified collection procedure, you may present an affidavit and supporting documents to the institution holding the funds to collect those assets without full administration. If an asset is unclear (joint vs. sole), the bank may refuse release until a court or administrator confirms proper ownership.

Where to check Arkansas law and local forms

For the statute text and any required form language, search the Arkansas Code and the Arkansas court system pages. A helpful place to start is the Arkansas Legislature website (https://www.arkleg.state.ar.us/) and the Arkansas Judiciary resources (https://www.arcourts.gov/). County probate clerks can tell you whether your county has a local small estate affidavit form or other procedures to follow.

Helpful hints — practical checklist and tips

• Start by collecting: certified death certificate(s), the decedent’s last bank statements, account numbers, and any will or trust documents.
• Call the bank’s estate/probate desk. Ask what documentation they require to disclose the account balance at the date of death and to release funds under a small estate affidavit.
• Ask the bank to search for POD beneficiaries or co-owners. Banks sometimes have internal flags that show beneficiary designations that are not obvious on customer statements.
• Document all steps. Keep copies of letters, emails, and notes about phone calls, including the person you spoke with and the date/time.
• If you cannot confirm balances or ownership, consider a conservatively high estimate when adding up assets. If you later discover the estate exceeds $20,000, you may need to open formal probate or correct distributions.
• If the decedent owned real property, check whether the small estate process is still allowed — many short procedures exclude real property from the coverage and require formal probate instead.
• When in doubt, consult the county probate clerk. Clerks routinely answer procedural questions and point you to the right statute, forms, and fees.
• If anyone contests ownership or you expect creditor disputes, consult an Arkansas probate attorney before distributing funds under an affidavit.

Useful links:

• Arkansas Legislature main site (search statutes): https://www.arkleg.state.ar.us/
• Arkansas Judiciary (courts and probate resources): https://www.arcourts.gov/
• Arkansas Vital Records (ordering death certificates): https://www.healthy.arkansas.gov/programs-services/vital-records