My brother passed and his state check (which was for the month before he died) was direct deposited into his account. Now they put a hold on his account because there is less in there than what the check was for, and they want the money back. What happens now? There isn't going to be any more money in that account; will it just stay dormant?
It appears that the state has a reclamation claim for the payment, assuming he died before it was made. In such cases, there is normally a process to be followed by the bank before returning the funds. In most cases, the bank won't be required to surrender more than what remains in the account; the state may have a claim against your brother's estate for the balance of the reclamation amount.
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It appears that the state has a reclamation claim for the payment, assuming he died before it was made. In such cases, there is normally a process to be followed by the bank before returning the funds. In most cases, the bank won't be required to surrender more than what remains in the account; the state may have a claim against your brother's 