What to do when an Abound CU account holder dies
Report the death to Abound CU's Member Resource Branch at 1-800-285-5669
When a member of Abound CU passes away, the Member Resource Branch handles the transition of accounts to beneficiaries or the estate. Accounts with Payable on Death designations or trust ownership transfer outside of probate, while solely-owned accounts may require Letters Testamentary or Letters of Administration from the probate court.
To start, call Abound CU at 1-800-285-5669. Have the account holder's full name, account numbers, and the death certificate ready before you call.
Death claim process
Here is the step-by-step death claim process at Abound CU:
Filing a claim
- Certified copy of the death certificate
- Government-issued ID of the person handling the account
- Any Letters, court order or trust document that establishes your authority
Required Documents
- Certified death certificate
- Government-issued photo ID of the claimant
- Letters Testamentary or Letters of Administration, if the account has no payable-on-death beneficiary, joint owner or trust titleFrom the Kentucky District Court.
- Trust agreement or certification of trust, and the trust's Tax ID Number, for a trust-owned account
- Other documents supporting the claimAbound "may require satisfactory documentation be provided regarding any right, claim or fact."
- Indemnification agreement, if Abound requires one under Membership Agreement Section 25
What happens to each kind of account7
- Account in one name
With no beneficiary, no joint owner and no trust, Section 25 sends the funds to the estate of the account holder. The executor or administrator produces Letters Testamentary or Letters of Administration.1
- Joint account with survivorship
The surviving owner takes by right of survivorship (Section 36), but Abound "may not release any funds to a survivor until all required legal documents are delivered to us."1
- Payable-on-death account
The beneficiaries named on the Account Card are paid on proof of death. Multiple surviving beneficiaries own the funds jointly without rights of survivorship, and nothing is paid to a beneficiary who was not living when the account became payable.1
- IRA
IRAs and Coverdell ESAs are paid to the beneficiary named in the separate IRA Agreement/Certificate designation, not to a payable-on-death beneficiary on the Account Card. No redemption penalty applies to a withdrawal made after the member's death.1
- Certificate of deposit
The Truth-in-Savings disclosure allows a premature withdrawal "without penalty or with a reduced penalty in the event of the owner's death." Ask Abound to waive the early withdrawal penalty.1
- Trust account
The successor trustee provides the trust document, a certified death certificate and the trust's Tax ID Number, and is designated as fiduciary on the Signature Card.1
- Safe deposit box
The box contents are reached through a separate process from the deposit accounts.2
State law on paying a balance without lettersKentucky
- Kentucky
KRS 391.030(2)
Kentucky law directs a credit union to pay from a deceased member's balance on an order of the court, without letters testamentary or letters of administration.KRS 391.030(2)Verified Oct 3, 2026View source
Paid to: surviving spouse
Limit: $2,500 in total from every holder
The section sets further conditions.
What Abound CU's agreement and guidance say7
- Telling the institution
Section 25 lets Abound keep honoring every transaction on the account until it receives actual notice of the member's death.1
- What it does when notified
After notice, Section 25 still permits Abound to honor transactions the member authorized "for a period of ten (10) days, unless we are ordered not to do so by a person claiming an interest in your account(s)."1
- Debts owed to the institution
Payment of funds is "subject to our lien or other security interest; and all debts you owe to the Credit Union will be paid from the funds in your accounts before any payment is made." A Visa balance or a share-secured loan comes out of the deposits before a payable-on-death beneficiary is paid.1
- Wills, probate and small estates
Where no estate is opened, Section 25 says Abound "may, but has no obligation to do so, pay the funds to any heir, who will be solely responsible for any further distribution of said funds."1
- Indemnity a claimant may have to give
Abound "can require any person claiming the funds in your account(s) to indemnify us for any losses we may incur as a result of honoring their order" (Section 25).1
- Disputes between claimants
Section 31 makes account owners liable for Abound's costs and attorneys' fees if it has to defend a claim brought by an executor, heir or other party in interest.1
- Dormant and unclaimed accounts
A $10 monthly inactivity/dormancy fee starts after 12 months without activity on a balance under $500. Ask Abound to stop it while the estate is open.3
Not in Abound CU's published guidance3
- A claim form
- A fax number for claim documents
- An email address for claim documents
Abound CU's Member Resource Branch can be reached by phone at 1-800-285-5669 for questions throughout the claims process.
Sources
Data sourced from Abound CU primary sources (17 pages reviewed). How we research.
Abound CU death claims support
Member Resource Branch
Phone
Hours
Mailing address
Website
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