What characterizes a joint or survivor account in terms of survivorship rights?

The characterization of a joint or survivor account is defined by the principle of survivorship rights, whereby the surviving account holder has absolute rights to the entire balance of the account upon the death of the other account holder. This means that when one of the joint account holders passes away, the surviving holder automatically becomes the sole owner of the account funds without the need for probate.

This principle is rooted in property law where joint tenancy with the right of survivorship allows for seamless transfer of ownership between co-owners. The survivors do not have to wait for the probate process or any other legal formalities to claim the funds, which can provide a significant benefit for financial accessibility and continuity.

In contrast, other options suggest limitations or conditions that do not apply to the nature of joint accounts as defined by law. For instance, survivors having limited rights or needing to wait for probate is inconsistent with the fundamental rules governing joint accounts. The characterization of the account as a joint estate asset does not address the rights of the survivor, which further emphasizes the totality of rights enjoyed by the surviving account holder in this arrangement.