The Unexpected Waiting Period That Catches Many Michigan Families Off Guard
When you’re dealing with the loss of a loved one, the last thing you want to hear is that you must wait 28 days before accessing their bank account to pay funeral expenses. This mandatory waiting period for Michigan’s small estate process often surprises families who are already struggling with grief and immediate financial needs. The requirement applies specifically to the Transfer by Affidavit process, which is designed to be the simplest way to handle estates worth $51,000 or less (as of 2025) when there’s no real property involved.
Many families find themselves in this position when a parent or spouse passes away with modest assets – perhaps a checking account, a small savings account, and a vehicle. The good news is that Michigan’s small estate procedures can help you avoid the lengthy formal probate process, which typically takes months or even years. However, understanding why this 28-day waiting period exists and how to navigate it effectively can make a significant difference in your ability to settle your loved one’s affairs smoothly.
💡 Pro Tip: Start gathering important documents like death certificates, bank statements, and bills immediately after your loved one passes. Having these ready when the 28-day period ends will help you move quickly through the process.
Find yourself tangled in the complexities of Michigan’s small estate processes? Let CF Legal guide you. Reach out today at 810-232-1112 or simply contact us to navigate these legal waters smoothly.
Understanding Your Rights with a Probate Lawyer in Michigan
The 28-day waiting period isn’t just bureaucratic red tape – it serves several important legal purposes in protecting both heirs and creditors. During this time, other potential heirs have the opportunity to come forward, and the estate has time to identify all assets and debts. Working with a probate lawyer in Michigan can help ensure you’re using the correct small estate process for your situation, as choosing the wrong path could result in personal liability for the estate’s debts.
Michigan law provides two main options for small estates: Transfer by Affidavit (requiring the 28-day wait) and Assignment of Property (which can be filed immediately but requires court involvement). The Transfer by Affidavit process, governed by MCL 700.3983, allows successors to collect personal property without going to court, but only after those 28 days have passed. This non-court option saves families time and money, but it’s only available when the deceased didn’t own any real property like houses or land.
One crucial aspect many people overlook is that Michigan small estate processes don’t follow the terms of a will. Instead, they use Michigan’s intestacy laws to determine who inherits. This means that even if your loved one left specific wishes in a will, the small estate process will distribute assets according to state law. If following the will’s instructions is important, you’ll need to open a full probate case, which is where consulting with a probate lawyer in Michigan becomes especially valuable.
💡 Pro Tip: Keep detailed records of all estate expenses you pay during the 28-day waiting period. You may be entitled to reimbursement from the estate once you gain access to the accounts.
Critical Timelines and Deadlines in Michigan’s Small Estate Process
Understanding the various timelines in Michigan’s small estate procedures helps families plan effectively and avoid costly mistakes. The 28-day waiting period for Transfer by Affidavit is just one of several important deadlines you’ll encounter. A probate lawyer in Michigan can help you navigate these timelines to ensure you meet all legal requirements while settling the estate as efficiently as possible.
- Day 1-28: Mandatory waiting period begins from date of death for Transfer by Affidavit
- Day 29+: You can submit the Affidavit of Decedent’s Successor (Form PC-598) to banks and other institutions
- 120-hour rule: Any heir must survive the deceased by at least 5 days to inherit under Michigan law
- 63 days: Creditors have this long to make claims if you used Assignment of Property through the court
- 6 years: General statute of limitations for creditors when using Transfer by Affidavit (no shortened deadline)
The difference in creditor timelines between the two processes is significant. With Assignment of Property, creditors only have 63 days from the judge’s order to collect debts, providing more certainty for heirs. However, with Transfer by Affidavit, creditors retain their rights under the general six-year statute of limitations, meaning potential liability extends much longer. This extended exposure is one trade-off for the convenience of avoiding court proceedings.
💡 Pro Tip: Mark your calendar for day 29 after the death and prepare your affidavit in advance. Many financial institutions will accept the form immediately on day 29, allowing faster access to needed funds.
Navigating Small Estate Options with Professional Legal Guidance
Choosing between Michigan’s small estate options requires careful consideration of your specific circumstances. While the 28-day wait for Transfer by Affidavit might seem frustrating, it’s often still the fastest path to accessing assets. CF Legal helps families throughout Genesee County understand their options and choose the most appropriate process for their situation. A probate lawyer in Michigan can evaluate whether your case qualifies for small estate treatment and which method best protects your interests.
Recent legislative efforts show that Michigan recognizes the need to modernize its probate laws. The EPIC omnibus proposed amendments aimed to increase small estate thresholds significantly, with proposals to raise the Transfer by Affidavit limit from $15,000 to $40,000 (though current law has already increased it to $51,000 for 2025). These changes reflect the reality that inflation has made previous limits outdated, and more families need access to simplified probate procedures.
The Assignment of Property option eliminates the 28-day wait but requires filing with the probate court and paying fees ($37 plus inventory fees). This court-supervised process produces a judge-signed order that many financial institutions prefer, especially for larger accounts. More importantly, it’s the only small estate option available if the deceased owned real property, regardless of value. Understanding these nuances helps families make informed decisions about which path to pursue.
💡 Pro Tip: If the estate includes both real property and personal property under the $51,000 limit, you must use Assignment of Property for everything – you cannot split between the two processes.
Financial Implications and Estate Valuation Considerations
Determining whether an estate qualifies for small estate treatment involves more than simply adding up bank account balances. Michigan law requires fair market valuation of all assets as of the date of death, and for deaths occurring after January 1, 2024, you can deduct certain real property liens when calculating the total estate value. For 2025 deaths, this deduction can be up to $257,000, significantly expanding access to small estate procedures for families with mortgaged homes.
Calculating Your Estate’s Eligibility
The $51,000 threshold for 2025 represents a substantial increase from previous years – just three years ago in 2022, the limit was only $25,000. This dramatic increase acknowledges the impact of inflation on estate values and the need for more families to access simplified procedures. When calculating whether an estate qualifies, remember to include all personal property: bank accounts, vehicles, stocks, bonds, and personal belongings. Each item must be valued at its fair market value on the date of death, not what was originally paid for it.
One unique aspect of Michigan’s approach is that the threshold adjusts annually for inflation under MCL 700.1210. This automatic adjustment prevents the need for constant legislative updates and ensures the small estate process remains accessible as asset values naturally increase over time. However, families must check the current year’s threshold, as using an outdated limit could invalidate the entire process.
💡 Pro Tip: Vehicle values can be tricky – use the Kelley Blue Book private party value for the exact make, model, and condition rather than trade-in or dealer prices for the most accurate estate valuation.
Creditor Rights and Successor Liability in Small Estates
One of the most misunderstood aspects of Michigan small estate processes involves successor liability for the deceased’s debts. Using a small estate petition allows you to skip the formal creditor notice process that typically takes months in regular probate, but this doesn’t mean creditors lose their rights entirely. Understanding these liability rules is crucial for protecting yourself when using either small estate option.
Different Rules for Different Heirs
Michigan law provides special protection for surviving spouses and minor children who receive property through small estate processes. Unlike other heirs, they’re not personally liable for the deceased’s debts beyond the value of what they receive. However, all other heirs who receive property through an Order for Assignment remain liable for unsatisfied debts up to the value of property received for 63 days after the court order. This liability period is much shorter than the general statute of limitations but still represents real financial risk.
For those using Transfer by Affidavit, the liability situation is less clear-cut. While there’s no specific short-term deadline like the 63-day period for Assignment of Property, creditors retain their rights under general limitation statutes. In Michigan, this typically means six years for most debts. This extended exposure is why consulting with a probate lawyer in Michigan about potential creditor claims before choosing your small estate method can save significant problems later.
💡 Pro Tip: Before distributing any assets, set aside funds equal to known debts plus a reasonable reserve for unknown creditors – this protects heirs from having to repay distributions if creditors appear later.
Frequently Asked Questions
Common Questions About Michigan’s 28-Day Waiting Period
Many families dealing with small estates in Michigan have similar concerns about the process and requirements. Understanding these common issues helps you prepare for what’s ahead and avoid potential pitfalls that could delay settling your loved one’s estate.
💡 Pro Tip: Write down questions as they occur to you during the 28-day waiting period – this ensures you don’t forget important concerns when consulting with an attorney or filing your paperwork.
Next Steps After the Waiting Period
Once the 28-day period ends, you’ll need to act promptly but carefully. Having all documentation ready and understanding exactly where to file or present your affidavit saves time and prevents frustration when you’re already dealing with grief.
💡 Pro Tip: Call ahead to financial institutions before visiting in person – some require appointments for estate matters or have specific departments that handle deceased account holders.
1. Why exactly does Michigan require this 28-day waiting period for small estate affidavits?
The 28-day waiting period serves multiple purposes: it allows time for all potential heirs to learn about the death and come forward, provides a cooling-off period to prevent hasty decisions during initial grief, and gives time to locate all assets and debts. This waiting period has been part of Michigan law for decades and helps prevent disputes and fraud in estate settlements.
2. Can I do anything during the 28-day wait to speed up the process with my probate lawyer in Michigan?
Yes, use this time productively by gathering all necessary documents: obtaining multiple certified death certificates, locating all financial accounts and their current statements, getting vehicle titles and registration documents, and identifying all potential creditors. You can also complete the Affidavit of Decedent’s Successor form (PC-598) so it’s ready to notarize and submit on day 29.
3. What happens if I discover real property after already starting the Transfer by Affidavit process?
If you discover the deceased owned real property (land or buildings), you must stop the Transfer by Affidavit process immediately and switch to Assignment of Property through the probate court. This is the only small estate option available when real property is involved. Any assets already collected through the affidavit process may need to be reported to the court.
4. Do I need to publish notice to creditors when using Michigan small estate processes?
Neither small estate process requires publishing creditor notices like formal probate does. However, for Assignment of Property, some courts may require notice to known creditors. With Transfer by Affidavit, there’s no creditor notice requirement, but creditors retain their rights to collect for the full statute of limitations period, typically six years in Michigan.
5. How do the new 2025 small estate limits affect my case if my loved one died in late 2024?
The applicable small estate limit is determined by the date of death, not when you file. If your loved one died in 2024 after February 21st, the limit is $50,000. For deaths in 2025, the limit increased to $51,000. Always verify the threshold for the specific date of death, as using the wrong limit could invalidate your small estate proceeding.
Work with a Trusted Probate (Trust & Estates) Lawyer
While Michigan’s small estate processes are designed for simplicity, the nuances between Transfer by Affidavit and Assignment of Property, varying creditor timelines, and potential personal liability make professional guidance valuable. The 28-day waiting period gives families time to consult with an attorney who can assess whether the estate truly qualifies for simplified treatment and which method best protects the heirs’ interests. This is especially important in Flint, where local court practices and financial institution requirements may have specific quirks that an experienced attorney can help navigate.
Remember that choosing the wrong process or making errors in valuation can result in personal liability for estate debts or even require starting over with formal probate. A knowledgeable attorney can help you understand not just the legal requirements, but also the practical implications of each choice for your specific family situation. With the right guidance, the 28-day wait becomes an opportunity to properly prepare rather than just a frustrating delay.
Feeling overwhelmed by Michigan’s small estate waiting period? Let CF Legal lend a hand. Give us a call at 810-232-1112 or contact us to navigate the intricacies with ease.