Practical Tips for Tenancy By Entireties Bank Accounts

Tenancy by the entirety in Florida is a form of joint property ownership for married couples that provides automatic survivorship rights and shields the asset from the creditors of either spouse.

Creditors of one spouse cannot seize property held in this manner unless both spouses are liable.

For Florida residents who want the benefits of tenancy by the entirety protection on their bank accounts, consider the following tips and best practices.

Open accounts only with your spouse (no third owners).

A true TBE account must be held exclusively by a married couple. Do not add any additional co-owner who is not your spouse (such as a parent, child, or business partner) to the account. Doing so will destroy the tenancy by entirety because the property would no longer be held by only the marital unit.

If you need others to have access for convenience, consider using alternative methods (such as a power of attorney or authorized signer) instead of adding them as joint owners.

Ensure the account is titled correctly and choose “TBE” if offered.

When opening a joint account at a bank, pay close attention to the ownership options on the account application or signature card.

If the form explicitly lists “Tenants by the Entirety” (sometimes abbreviated as Ten. by Ent. or Tenancy Entir.) as a choice, select it. Do not assume that “Joint with Survivorship” is the same thing. It usually is, unless a distinct TBE option is present.

If you fail to choose TBE when it’s available, you are effectively waiving that status. Many people (and even some bank employees) are not well-versed in these legal distinctions, so it falls on you as the customer to make the correct selection.

If you’re unsure, ask to speak with a bank manager or an attorney who can confirm how to title the account for tenancy by entirety.

Use banks that accommodate TBE if possible.

Not all financial institutions make it easy to hold accounts as tenants by the entirety.

Some big banks (like Chase) explicitly define TBE ownership, while others (like Truist or PNC) have policies against it in their account agreements.

Consider choosing a bank or credit union that is friendly to TBE accounts. Often, local or regional banks and credit unions in Florida are accustomed to TBE and will at least not object to it.

If your current bank won’t allow TBE titling and instead forces you into a joint-tenants-only arrangement, you could move your funds to an institution that does support tenancy by the entirety ownership.

Document your intent if the bank policy is unclear.

If you happen to bank with an institution that does not explicitly offer TBE accounts nor explicitly forbid them, it can be helpful to create a paper trail of your intent to hold the account as tenants by the entirety.

For example, you could send a signed letter to the bank (and keep a copy) stating: “We, John and Jane Doe, as husband and wife, intend our joint Account #XXXX to be held as Tenants by the Entirety in accordance with Florida law.”

Request that the bank place that letter or a note in your account records. Even if the bank’s personnel don’t formally acknowledge “TBE” (they may say their system only knows joint accounts), you will have evidence of your intent.

This can be invaluable if a creditor ever tries to garnish the account. You can show the court that you affirmatively declared the account to be entireties property.

Documenting your intent can strengthen your legal position that you never intended a simple joint account, but rather an entireties account.

Avoid commingling that could sever unities.

To preserve tenancy by entirety status, the property should be treated as a joint marital asset.

Each spouse should have access and some degree of control. If one spouse treats the account as personal property or there are arrangements that segregate the funds, a creditor might argue the unities are broken.

For example, if only one spouse contributes to and uses an account exclusively, with the other spouse’s name merely on paper, a creditor could attempt to rebut the presumption by claiming the spouses didn’t truly intend a joint marital account.

While this argument is often unsuccessful after Beal Bank (which assumes intent unless clearly refuted), you can avoid it by behaving consistently with entireties ownership.

Review account agreements and stay updated.

Laws and bank policies can change. Florida’s statute and the Beal Bank ruling give strong protection now, but always read the fine print of any new account agreement or updates your bank sends out.

If a bank were to add an express disclaimer of TBE in its terms, and you (perhaps unknowingly) agree to it, that could nullify the protection.

For example, if Bank of America decided to modify its agreement to explicitly say “accounts are not held as tenancy by the entirety,” and then you agree to it, that would count as “otherwise specified in writing” and override the statutory presumption.

Understand the limits of TBE

Tenancy by the entirety is not a solution for all situations. It protects against individual creditors of one spouse. It does not protect against judgments against both spouses together (for example, if both are sued for a jointly incurred debt, a TBE account can be reached by that joint creditor).

Also, if a married couple divorces, tenancy by entirety status terminates (the ownership converts to a tenancy in common upon divorce, meaning each then owns 50%. The 50% is reachable by individual creditors).

Death of one spouse also ends the tenancy by entirety. The survivor then owns the funds alone, at which point the asset could be exposed to that survivor’s sole creditors or become part of their estate.

There are complex solutions to mitigate both of these risks. Still, use TBE as one tool in your asset protection toolkit, but don’t rely on it for liabilities that are shared.

About the Author

Gideon Alper is an attorney who specializes in asset protection planning. He graduated with honors from Emory University Law School and has been practicing law for almost 15 years.

Gideon and the Alper Law firm have advised thousands of clients about how to protect their assets from creditors.