Maine Beneficiary Accounts

Maine account owners aren't locked into whatever they picked when the account was opened — a simple written notice to the bank can change the rules going forward.

Joint accounts pass to the survivor

Under 18-C M.R.S. § 6-212, part of Maine's Probate Code, sums remaining on deposit at the death of a party to a multiple-party account belong to the surviving party or parties, without a probate proceeding for those funds. If two or more parties survive and one is the decedent's surviving spouse, the amount the decedent was beneficially entitled to immediately before death belongs to that surviving spouse specifically.

Owners can change the rules mid-stream

Here's a genuinely useful, practical feature of Maine's framework: rights at a party's death are determined by the terms of the account as they stand at that time — and a party can actually alter those terms during their own lifetime. A party may change the account's terms, including whether it carries survivorship, simply by giving the financial institution a signed written notice changing the terms or varying payment under them. This gives account owners real, ongoing flexibility to update how their bank accounts are structured without necessarily having to close the account and open an entirely new one.

P.O.D. designations work independently

A single-party or multiple-party account can also carry a payable-on-death (P.O.D.) designation. The named P.O.D. beneficiary has no rights to the funds while any party to the account remains alive; once the last surviving party dies, the beneficiary can claim the remaining balance directly from the bank, without probate. If two or more P.O.D. beneficiaries survive, they take the funds in equal, undivided shares, and there's no further survivorship between the beneficiaries themselves after that point — if one of them later dies, their share simply passes through their own estate rather than to the other beneficiaries.

Tenancy in common as account designation

Maine's statute specifically allows an account to be designated as a tenancy in common, which establishes by definition that the account is without a right of survivorship. This gives account holders a clear, direct way to set up a shared account where each person's individual share genuinely passes through their own estate at death, rather than automatically to the other account holders.

A framework in effect since 2019

Maine's current multi-party account statute governs accounts established before, on, or after September 1, 2019, regardless of the specific form used to open the account, giving the framework broad, retroactive-style coverage over accounts opened well before that date as well as newer ones.

Real estate follows a related, but distinct, framework

The same basic survivorship concept extends to real estate under Maine's joint tenancy statute, though real property follows its own separate rules, including Maine's unusually detailed, specifically enumerated list of accepted survivorship phrasing.

Life insurance and retirement accounts

Life insurance and retirement accounts like a 401(k) or IRA follow the same basic beneficiary-designation rule: the named beneficiary receives the asset directly, outside probate, as long as they're alive when the owner dies. Either one becomes part of the probate estate only if no beneficiary was ever named, every named beneficiary predeceased the owner with no contingent beneficiary in place, or the policy or plan names the owner's own estate.

Maine beneficiary accounts — frequently asked questions

Does a joint bank account automatically pass to the survivor in Maine?

Generally yes. Sums remaining on deposit in a multiple-party account with survivorship belong to the surviving party or parties at death, without a probate proceeding for those funds.

Can a Maine account owner change a bank account's survivorship terms during their lifetime?

Yes. A party may alter the account's terms, including its survivorship rules, by giving the financial institution a signed written notice changing the terms or varying payment under them.

Does Maine authorize payable-on-death bank accounts?

Yes. A single-party or multiple-party account can carry a P.O.D. designation, letting a named beneficiary claim the remaining balance directly from the bank once every party to the account has died.

When did Maine's current multi-party account statute take effect?

The current framework, part of Maine's Probate Code, governs accounts established before, on, or after September 1, 2019, regardless of the specific form used to open them.

Do life insurance and retirement accounts skip probate in Maine the same way?

Yes. Both pass directly to a living named beneficiary, outside probate, and only become part of the probate estate if no beneficiary was named, every named beneficiary predeceased the owner with no contingent beneficiary in place, or the policy or plan names the owner's own estate.

This page provides general guidance only and is not legal advice. Rules are based on Maine statute (18-C M.R.S. § 6-211 et seq.), verified per our methodology. Confirm a specific account's current terms with the bank, or with a licensed Maine attorney, before acting.