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Tenancy by Entirety Accounts

Question: 
Can someone please explain the difference between accounts set up as "joint tenants with right of survivorship" as opposed to "tenants by the entireties" other than the fact that a "T by E" account is between a husband and wife?
Answer: 

Answer by John Burnett: Here's a LINK to an earlier discussion on this topic in Bankers' Threads.

It appears that T by E accounts are not even recognized in most states. I'd strongly suggest contacting counsel to see if anything other than real estate can be held in this manner.

Answer: 

Answer by Ken Golliher: As John suggests, verify that this is a legitimate form of ownership under the law of your state. Generally, it is applicable only to real estate. However, it is worth noting that it is the default method of ownership for bank accounts held jointly by spouses in Florida.

In essence, tenancy by the entireties is based on the medieval assumption that husband and wife are one person. (Anyone who's been married more than six months knows that is ridiculous, but the 1200s were simpler times.) This form of ownership essentially says both spouses own the property simultaneously and there is no need for the concept of survivorship; e.g. if he dies she still owns it, she does not inherit it. It requires that both spouses agree to the grant of any security interest in the property and that the property cannot be attached for debts that are not jointly owed by both spouses.

First published on BankersOnline.com 3/7/05

First published on 03/07/2005

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