What to do when a Patelco CU account holder dies

Available to download.^{1, 2}

Available to download.³

An account with no surviving joint owner passes to any named POD beneficiary or, if none is named, to the owner's estate.⁴

Where there is no surviving joint owner or POD beneficiary and the estate is subject to probate, Patelco issues a check for the proceeds to the executor or administrator after it receives copies of the letters testamentary or letters of administration issued by the court.⁵

The surviving owner automatically owns the money. Patelco closes the deceased member's account and Member Number.⁵

If the joint owner is eligible for membership, Patelco opens a new Member account with a new Member Number and transfers the eligible proceeds. If not, Patelco issues the joint owner a check and closes the account.⁵

The funds pass to the named beneficiaries outside probate, in equal shares unless the member specified otherwise in writing.⁵

Patelco's Specialized Accounts Specialist describes the successor trustee bringing Patelco a trust certification naming the new trustee as proof of authority. Accounts that were never given the trust title are handled as non-trust accounts.⁶

Patelco may waive the early withdrawal penalty on a certificate, at its discretion, when any owner dies.⁴

Where an account has no joint owner, Patelco's authority to disburse funds from it ends ten days after the later of the date of death and the date Patelco learns of the death.⁵

After that, Patelco disburses account proceeds as the law or a court order directs, and it honors stop-payment requests from anyone claiming an interest in the account.⁵

A person who is a signer only in a fiduciary capacity, such as an attorney-in-fact, does not succeed to ownership of the account proceeds.⁴

For a small estate not subject to probate, Patelco disburses account proceeds on receipt of legally sufficient documentation. Its Affidavit Declaration for Collection of Decedent's Account(s) is on the Forms page for that purpose.^{4, 2}

The small-estate affidavit carries a joint-and-several agreement to hold Patelco harmless against any liability, loss, cost or expense, including attorney's fees, arising from the payment.¹

A direct deposit of Social Security benefits received after the payee's death is treated as an erroneous deposit. Patelco can return it to the payor and deduct it from the account.⁴

Patelco notarizes Patelco documents free of charge.⁷