How to name beneficiaries and fund a trust at Global CU

A POD designation is not available on business, organization, association or public unit accounts.¹

The deposit POD page does not cover IRAs: "Individual Retirement Accounts (IRAs) are not included in this designation as those beneficiaries are specifically designated within the IRA Custodial Application."²

Each IRA takes its own beneficiary form, and a new form overrides all previous designations for that IRA. A member with an IRA savings plus an IRA certificate needs two forms.^{3, 4}

An HSA is designated on form GCU SYM 00093, not the POD page. Each HSA takes its own form, and a new form overrides all previous designations for that HSA.³

A person can be named as a beneficiary.^{2, 3}

A trust can be named as a beneficiary. The POD form has an "Entity (trust, estate, charity, etc.)" beneficiary type, and the IRA / HSA form states "A beneficiary can be a person, trust, charity or your estate."^{2, 3}

The estate can be named as a beneficiary.^{2, 3}

A charity can be named as a beneficiary.^{2, 3}

POD beneficiaries share equally: "If there is more than one beneficiary, the funds will be distributed in equal shares among the beneficiaries." The form prints six beneficiary slots and has no percentage column.²

The IRA / HSA form gives five beneficiary lines, each marked Primary or Secondary, and states "The % fields must total 100% per beneficiary type. If no percentage is specified, funds will be distributed equally among all beneficiaries."³

The Ascensus-format Roth IRA form (Form 2403R) has primary, secondary and tertiary blocks, each totaling 100 percent.⁴

HSA beneficiaries are named on the same form: five lines, each Primary or Secondary, with percentages that must total 100% per beneficiary type. With no percentage, funds are distributed equally.³

Only the primary member may designate POD beneficiaries. A joint owner can open subaccounts and transact, but cannot add or change a beneficiary.²

A signed paper form is required. Global offers no online or mobile POD designation and takes no verbal designation.²

A married owner who names a primary beneficiary other than the spouse must have the spouse sign, waiving community-property rights to the account except as the designation provides. The form takes the spouse's signature alone.³

On the Ascensus-format Roth IRA form (Form 2403R), the spouse's consent signature is also witnessed, on a separate Signature of Witness line.⁴

On the HSA form, a married owner who names a primary beneficiary other than the spouse must have the spouse sign. The form takes the spouse's signature alone.³

For payable-on-death accounts. Completed by the primary member. Available to download.²

Return to

Available to download.³

Return to

For IRAs. Available to download.⁴

POD funds are paid only after every owner has died: "Accounts funds are payable only upon the death of the member and all other joint owners of the account to the surviving designated beneficiaries in equal shares."²

A surviving joint owner takes ahead of the POD beneficiaries.²

Revocable and irrevocable trust accounts are available for savings, checking, money market and certificate accounts.⁵

An IRA cannot be held by a trust; a trust can only be named as its beneficiary.³

An HSA cannot be held by a trust; a trust can only be named as its beneficiary.³

An existing account is not retitled: "A Trust Agreement or Trust Abstract is required to establish a Trust account. An existing member account may not be converted into a Trust account; a separate account in the name of the trust must be established."⁵

Funding a trust means opening a parallel set of trust accounts and moving the money. The personal accounts left behind keep their POD designations, which the trust account does not change.⁵

Only trustees named in the trust agreement may access the account. Every trustee may borrow from Global, guarantee debts of others and pledge all or part of the account as collateral, warranting that the trust documents permit it.⁵

Any trustee may draw on a credit line established with the trust account.⁵

An Operations Support Specialist reads the trust agreement, certification of trust and any amendments. Global reviews the trust document itself rather than relying on a standard form because, in its words, all trust agreements are different.⁵

A trust account cannot be opened online or through the Global CU app.⁵

The people behind the trust need to qualify for membership. Anyone who does not qualify geographically can come in through the Global Credit Union Foundation, whose members are eligible for credit union membership.^{6, 2}