What happens to money in your bank accounts when you die?

Hi. I would like to know what would happen to bank deposits after I die. I tried asking one of the managers in the bank but I did not get a very clear answer. All they said was that the accounts are frozen upon notification of the death of the depositor then it all goes to the court. So my question is does it really have to go to the court? Will tax be deducted from it? If I have a will, will it change things or will it only specify to whom the money should go to? I also would like to know what happens to investments such as mutual funds and uitfs, and bsp special deposit accounts when the investor/depositor dies. I'd like to know the procedure that the family member would have to go through. Thanks all in advance.

you may be referring to Republic Act 3936, as amended otherwise known as the "Unclaimed Balances Law."

the funds in your account become part of your estate. the heirs have to settle your estate, pay the inheritance taxes before the money can be released to them.

my college professor said if it's a joint account

the co-depositor should immediately withdraw all money to avoid hassles