Health Insurance & Medical Costs · Surprise rank #42
Prepaid a Funeral? In NY You Can Usually Cancel and Get the Money Back With Interest
New York generally requires money paid under a revocable pre-need funeral agreement to remain the purchaser's money in an interest-bearing trust and be repaid with accrued interest on demand before the services are used.
Who
People who funded a revocable New York pre-need funeral or burial agreement before the death and before merchandise/services were delivered.
What to do
Start here: Demand the refund from the funeral provider in writing and keep the contract and payment records.
Eligibility: The arrangement must be a revocable pre-need trust covered by New York General Business Law §453.
What you get
A cancellation/refund right for qualifying revocable prepaid funeral arrangements.
Benefit: Return of the prepaid trust funds plus accrued interest.
Possible value: The amount deposited plus qualifying accrued interest.
Good to know
Important: Irrevocable burial trusts created for Medicaid/SSI planning are different and generally cannot be refunded to the purchaser. The right should not be described as applying to every prepaid funeral contract.
Availability: Active legal right
Why people miss it: Consumers often assume prepaying locks them permanently to the funeral home even though revocable trust money generally remains theirs until used.
Sources reviewed: Aug 10, 2026