You cannot straightforward transfer a bank account to another person, but you have several options depending on what you actually need to accomplish
A bank account is tied to the person whose name is on it and whose Social Security number or tax ID the bank has on file. You cannot change that ownership retroactively or hand the account over like a physical object. What you can do depends on whether you want someone else to access the money while you're alive, manage it after you die, or take over the account entirely.
The most common routes are adding someone as a joint owner (which gives them equal legal rights to the account), naming a beneficiary (which passes the account to them only after you die), or setting up a power of attorney (which lets someone manage it on your behalf without owning it). Each one works differently, costs nothing or very little, and has different tax and legal consequences.
Key Takeaways
- You cannot transfer a bank account to someone else while keeping it in your name — the account must be closed and reopened, or ownership must change through a legal document.
- Adding someone as a joint owner gives them when ready access and equal rights to withdraw money, and the account passes to them automatically if you die.
- Naming a beneficiary on the account keeps you in full control while alive, but the money goes to that person only after you die and outside of your will.
- A power of attorney lets someone manage the account on your behalf without owning it, and it ends if you die or revoke it.
- Transferring an account to a trust requires closing the old account and opening a new one in the trust's name, which takes one to two weeks.
Adding someone as a joint owner
A joint account means two or more people own the account equally. Both owners can deposit, withdraw, and manage the money without permission from the other. The bank will issue both of you debit cards and online access. If one owner dies, the account automatically passes to the surviving owner — it does not go through your will.
To set this up, go to your bank with the other person and both of your IDs. The bank will add them to the existing account; you do not need to close and reopen it. This takes about 15 minutes. There is no fee. The other person's Social Security number will be added to the account, and both of you will be responsible for any overdrafts or fraud on the account.
The main risk is that a joint owner can withdraw all the money without your permission. If you are adding someone you do not fully trust with unsupervised access, this is not the right option. Joint accounts also complicate things if you die — the surviving owner gets the full balance, which may not match your wishes if you have other heirs.
Naming a beneficiary on the account
Most banks let you name a payable-on-death (POD) beneficiary on a checking or savings account. This person has no access to the money while you are alive. After you die, they can claim the account by showing the bank a death certificate and their ID — the money passes to them outside of your will, and it happens within days rather than months.
To name a beneficiary, call your bank or visit a branch and ask for the POD form. You fill it out with the beneficiary's name and Social Security number, sign it, and return it. There is no fee and no cost to the beneficiary. You can change or remove the beneficiary at any time while you are alive.
This option keeps you in complete control of the account now. The beneficiary cannot access it, cannot see the balance, and cannot make withdrawals. It is useful if you want the money to go to someone specific after you die but want to manage it yourself until then. The downside is that if you become incapacitated before you die, the beneficiary still cannot access the account — for that, you need a power of attorney.
Setting up a power of attorney for the account
A power of attorney (POA) is a legal document that lets someone manage your bank account on your behalf without owning it. The person you name — called the agent or attorney-in-fact — can deposit, withdraw, and pay bills from the account, but it remains in your name. When you die, the POA ends, and the account goes to whoever you named in your will or as a beneficiary.
You can set up a POA through your bank (many have their own forms) or through an attorney. The bank form is simpler and costs nothing. You fill it out, sign it in front of a notary (which costs $5 to $15 at most banks), and give a copy to the agent. The agent can then manage the account when ready.
A POA is useful if you want someone to pay your bills or handle deposits while you are alive but unable to do so yourself — for example, if you are ill or traveling. You stay in control as long as you are able, and you can revoke the POA at any time. The agent has no ownership stake and cannot inherit the account.
Transferring the account to a trust
If you have set up a revocable living trust, you can transfer a bank account into it. This means the account is owned by the trust rather than by you personally. After you die, the trustee (the person you named to manage the trust) can access the account without going through probate and distribute the money according to your instructions.
To transfer an account to a trust, you will need to close the old account and open a new one in the trust's name. Bring your trust document and ID to the bank. The bank will issue a new account number, and you will need to update any automatic deposits or payments. This takes one to two weeks. There is no fee from the bank, though you may have paid an attorney to set up the trust initially.
This route is most useful if you have a complex estate, multiple heirs, or want to avoid probate. It is more work than naming a beneficiary, but it gives you more control over how the money is distributed after you die. The trustee can also manage the account if you become incapacitated, without needing a separate power of attorney.
What happens if you want to close the account and give the money to someone
If you straightforward want to move the money out of your account and into someone else's, you can withdraw the cash and give it to them, or transfer the balance to their account. This is the simplest option if you are moving all the money at once. You can do it online, at an ATM, or at a branch. There is no fee.
If the amount is large (over $10,000), the bank will file a Currency Transaction Report with the federal government — this is routine and not a problem as long as the money is yours and you are not trying to hide it. After the transfer, you can close the account if you no longer need it.
Transferring an account after someone dies
If someone has died and you are trying to access their account, the process depends on what documents they left behind. If they named you as a POD beneficiary, you can claim the account by showing the bank a death certificate and your ID. If the account was joint, it passes to you automatically. If there is a will or trust, you may need to go through probate or work with the trustee.
Contact the bank with a death certificate and ask what documents they need. Most banks have a process for this and can guide you through it. It usually takes one to four weeks depending on the account type and whether there are complications.
Frequently Asked Questions
Can I add someone to my account without going to the bank in person?
Most banks require both people to be present with ID to add a joint owner. Some banks may allow you to start the process online or by phone, but they will likely need to verify the other person's identity before finalizing it. Call your bank to ask about their specific process.
If I add someone as a joint owner, can I remove them later?
Yes. You can contact the bank and ask to remove the joint owner. The bank will issue a new account number, and the removed person will no longer have access. However, they may have already withdrawn money or seen the balance, so this does not undo any access they had while they were on the account.
What is the difference between a joint account and a POD beneficiary?
A joint owner can access and withdraw money right now. A POD beneficiary cannot access the account until you die. Use a joint account if you want someone to help manage money while you are alive; use a POD beneficiary if you only want them to have it after you die.
Do I need a lawyer to set up a power of attorney?
No. Most banks have their own POA forms that you can use for free. You only need a notary to sign it, which costs $5 to $15. You only need a lawyer if your situation is complex or if you want a more detailed document that covers other assets beyond the bank account.
If I name someone as a beneficiary, do they have to pay taxes on the money?
Bank accounts are not subject to federal income tax when inherited. The beneficiary may owe estate tax if the total estate is very large, but this depends on the state and the size of the estate. Ask an accountant or attorney if you are concerned about taxes on a large account.