What to do when a Firstrade account holder dies

Available to download.¹

Completed by the executor or administrator. Available to download. Must be notarized.²

Completed by the beneficiary. Available to download.³

On a brokerage account with a Transfer on Death designation, the named beneficiary provides ID and any documents Firstrade requests before Apex moves the assets into the beneficiary's own account.⁴

The beneficiary files the IRA Distribution Request form and selects Withdrawal from a Beneficiary IRA or Transfer to Beneficiary IRA.^{4, 3}

With no beneficiary designation, the estate opens a Firstrade estate account with the Estate packet and the assets are transferred into it.^{4, 1}

Section 14 of the Customer Account Agreement ("Customer's Estate") requires the estate representative or any surviving account holder to give written notice of the death immediately. The agreement binds the account holder's heirs, executors, administrators and personal representatives.⁵

Firstrade may take any action it deems necessary before or after the notice, including requiring documentation, requiring estate or inheritance tax waivers, or restricting account transactions. On notification of death it may cancel all open orders.⁵

Firstrade may close out all or part of the account without waiting for a personal representative to be appointed and without notifying one.⁵

The estate and any surviving account holders are jointly and severally liable for any net debit balance or loss from transactions completed before Firstrade received notice of death, or from the liquidation or adjustment of interests.⁵

A Roth IRA becomes subject to escheatment if no distribution occurs within five years of the account holder's death. Escheated assets are claimed from the state; for international accounts, Firstrade states the claim is made through New York State.⁴