What to do when a Jeanne D'Arc CU account holder dies

An individual account with no survivorship, trust, or payable-on-death provision belongs to the estate. To withdraw the funds, or to open an estate account, the credit union must first receive a current, certified appointment of an administrator, executor, trustee, or personal representative.¹

The surviving owners take all the funds, subject to the credit union's right of setoff and security interest in the account.¹

On a New Hampshire payable-on-death account, the named beneficiary can withdraw only after every person who created the account has died and the beneficiary is then living. Two or more surviving beneficiaries take in equal shares, without right of survivorship.¹

On a Massachusetts Revocable Trust Account (in trust for a named person), when the trustee dies, or both trustees where two were named, the credit union may pay the person for whom the trust was made, or that person's legal representative, on a certified death certificate and photo ID.¹

On a grantor or living trust account, the successor trustee transacts under the trust certificate on file. If the trustee has changed, a new certificate on the credit union's approved form is required.¹

The credit union is the trustee or custodian of IRA and profit-sharing accounts, and the IRA beneficiary form on file controls. The named beneficiary claims with a certified death certificate and photo ID.¹

The early-withdrawal penalty is 90 days of dividends on terms of one year or less and 180 days of dividends on longer terms. The disclosure states that on the death or incompetence of an owner the law permits, and in some cases requires, the penalty to be waived, so ask for the waiver.²

The deceased member's Visa credit card and debit card are closed separately, through the outsourced card-servicing lines.³

Massachusetts members cannot name a payable-on-death beneficiary: the agreement offers a Revocable Trust Account (in trust for) in Massachusetts and reserves payable-on-death accounts for New Hampshire accounts. A member who believes they named a POD beneficiary may in fact have an in-trust-for account.¹

The deceased member's Visa credit card (outsourced card servicing, after-hours)³

The deceased member's debit card (outsourced card servicing)³

Business loans³

An additional printed statement copy is $5.00 per statement, and account research is $50.00 per hour.⁴

The agreement's "Death or Incompetence" clause obligates you to notify the credit union as soon as a person with a right to withdraw dies. Until it knows of the death and has had a reasonable opportunity to act, it may keep honoring the member's checks and instructions.¹

The credit union may pay or certify checks drawn on or before the date of death for up to ten days after death, unless someone claiming an interest in the account orders a stop payment.¹

If no appointed executor or administrator has demanded payment, an authorized officer of the credit union may pay the surviving spouse, or if none the next of kin, a limited amount on a copy of the death certificate and surrender of any passbook or other instrument evidencing the shares.¹

That payment is discretionary, is capped at the member's total deposits and shares, and discharges the credit union's liability to everyone to that extent.¹

The credit union may apply the account against the deceased member's debts to it (loans, credit card, overdrafts) before releasing anything.¹

When a claim adverse to survivors or beneficiaries is made, the credit union may place an administrative hold on the account until a court resolves the claim or the parties show the dispute is settled. On a disputed joint account it may require a court order or the written agreement of all owners.¹

For a cash withdrawal of $5,000 or more the credit union may require up to seven business days' notice, given in person at a branch or by mail, and may instead pay by check or electronic funds transfer. A Treasurer's Check is $5.00.^{2, 4}

A signature guarantee is $25.00, an IRA transfer fee is $50.00, and a tax levy or attachment is $100.00.⁴

Under "Legal Actions Affecting Your Account", the credit union may charge the account for its fees and expenses, including attorneys' fees, in responding to a court order affecting it.¹

Checking account inactivity costs $5.00 per month after 18 months, and unclaimed property or escheatment is $50.00.⁴