Estate planning as a Nordstrom account holder

The Nordy Club is Nordstrom's loyalty program. Members earn Nordy Club points on purchases at Nordstrom and Nordstrom Rack, and those points convert into Nordstrom Notes that can be redeemed toward future purchases. The estate-relevant assets are the points balance and any unredeemed Nordstrom Notes in the account. Under the program Terms and Conditions, points and Notes have no cash value, do not constitute property, and are forfeited upon a member's death. A Nordstrom gift card is a separate matter: gift card terms state that gift cards do not expire and carry no fees, and that title passes to the purchaser on sale, so a card found among the decedent's belongings is ordinary estate property the executor can spend.

When a Nordstrom account holder dies, their points are forfeited. The program's terms state that points do not constitute property of the account holder and cannot be transferred upon death, by operation of law, or through estate planning documents.

What happens at death

Under The Nordy Club Terms and Conditions, "Program enrollment and benefits are nontransferable, unless expressly stated otherwise, and are forfeited upon a member's death." Nordy Club points and Nordstrom Notes "have no cash value, cannot be exchanged for cash or credit, may not be purchased or sold, and do not constitute property," and "Members have no ownership interest in points or Notes." The same Terms also make "Corporations, groups, associations, and other business entities" ineligible to participate, so the program is held by a natural person and an estate cannot itself hold a Nordy Club membership. Two clocks run against the balance: "All points expire after twelve (12) consecutive months without Program activity (e.g., earning points or redeeming Notes)," and, per the Nordy Club FAQ, "Standard Notes expire 12 months after being issued" (Bonus Notes may carry a shorter date shown on the Note or in the promotion). Because the balance is non-transferable, has no cash value, and is forfeited at death, there is no estate claim or inheritance for the points or Notes themselves. Redemption is also identity-gated: the FAQ states "Members must present valid proof of identification to redeem a Note," and the only published exception is an authorized user on a Nordstrom credit card account, who "may use Nordstrom Notes associated with the primary cardmember's account" on showing identification -- "Nordstrom Notes are otherwise nontransferable." Cancelling the membership destroys the balance rather than preserving it: "Any Nordy Club points ... or Nordstrom Notes ... in your account will become void at the time of cancellation," and the FAQ adds that "Any earned points or Notes will also be forfeited if your membership is canceled due to inactivity."

Frequently asked questions