Lawyer Blogger

What Happens To Your Bank Account When You Go To Jail?

what happens to your bank account when you go to jail


Nobody wants to go to jail. But if luck is not on your side and you end up in one, it’s essential to remember that your financial obligations will not excuse you just because you are in prison. 

Once you are in prison, you will not have any apps where you can press buttons to move money or go to the bank to withdraw. And the sad thing is, most inmates don’t have the information on how to do their banking inside. 

So, let this article tell you what will happen to your bank account when you go to jail.

What Happens to Your Money When You Go To Jail?

Typically speaking, nothing happens to your bank account if you go to prison. And this is mostly true in western countries like the US, UK, and Canada. But there can be exceptions. If the court believes that you gain your wealth from criminal activities like insider trading or selling drugs, they may take steps to freeze or take your assets.

In both the UK and Canada, there is an injunction called the Mareva injunction, where the court can temporarily prevent you from disposing of your assets. In the US, it’s called a freezing order.

Another thing to remember is most banks will typically put your account on hold and restrict any access to it if you have no activity for a certain amount of time. If you don’t want this to happen, you can update your banking address to your jail prison address and make small deposits. This prevents account dormancy and avoids bank hold.

Managing Your Finances When You Go To Jail

Managing your finances in prison can be tricky. And typically, you’ll only have the three options below

Temporarily Assigning Assets To A Loved One

A good option is to let one of your loved ones manage your finances by temporarily assigning them to your property. But the problem with this is that they are not legally obligated to return your assets to you. Unless, of course there is a contract that ensures a retransfer of the assets. However, ensure that the person you choose can be trusted and handle your obligations.

Giving Legal Authority To a Trusted Prison

If you are not comfortable transferring your asset to another, you could instead give someone the legal authority to manage your account on your behalf. This is a much safer option than the previous one since you can limit what actions they can do with your account. But, you still need to ensure that you can trust them to handle your money.

Putting Your Assets in a Trust and Giving Power Of Attorney to a Financial Professional

Another thing you can do is to put your money in a trust account and give a financial professional the power to manage it. Remember, these people are duty bound and legally obligated to keep your best interest in mind. So, if you have quite a large asset with you, this would be the best option. 

How Mortgages and Apartments are affected?

Like any of your other bills, the contractual obligation with your mortgage or rent remains the same. Despite your staying in prison. 


Assuming you both have the time and money, it would be best to eliminate your apartment lease and pay your penalties to get an early termination. While this may not be a problem if you’ll only be in jail for like a month, if you’ll be in prison for a longer duration, ending your contract would be the best course of action, so you don’t have to pay anything while you are serving time.

Another option would be to assign your lease if the contract allows it or sublease your apartment. 


If you are a homeowner, the best option would be to lease your home for a certain period you will be in custody. When you are in prison, no money is coming into your account. But bills and utilities will keep pouring in. 

If you can’t pay your mortgage because of your incarceration, try asking your lender to lessen your interest until you get released.                                                                                                                                                                                                      

Where Does Your Money Go?

You cannot access the money in your account if you are in prison. But you can purchase items in approved catalogs. And people who have access to your money can send money to a prison trust account. However, different prisons may have different rules and procedures. So, it would be best to learn those things before you start anything else.


Nobody wants to go to prison. But in the events that you do, it’s essential to remember that your obligations will not excuse you even if you are in there, especially financial ones. If you know anyone at risk of going to jail, this article should ease their worries, even if it is just a little.

Leave a Reply

Your email address will not be published. Required fields are marked *

Recent Posts