What to do when a PenAir account holder dies
Report the death to PenAir at 1-877-473-6247
PenAir operates under a new nameRebranded, effective October 2022
Pen Air Federal Credit Union converted to a Florida state charter effective October 1, 2022 and now operates as PenAir Credit Union. PenAir states that member accounts were not affected by the charter change.
When a member of PenAir passes away, PenAir 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.
Before contacting PenAir, have the account holder's full name, date of birth, and any available account numbers ready.
Death claim process
The death claim process at PenAir works as follows:
Filing a claim
Required Documents
- Court order or appointment, when an instruction to PenAir is based on onePenAir may decline to act until it is satisfied of its legality or authenticity.
- Trust agreement, if a trust claims the account and PenAir requires itPenAir may require it to prove the trust exists. PenAir is not a party to the trust agreement.
- Written agreement of everyone who may claim an interest, or a court order, if claimants disagree about the accountThe written agreement must meet PenAir's requirements.
What happens to each kind of account6
- Payable-on-death account
On the death of the last owner, the account is payable to the surviving beneficiaries named on the Account Card, subject to PenAir's right of set-off or any pledge. Once a beneficiary's interest vests, the sums payable remain subject to any right of set-off between PenAir and that beneficiary.1
When more than one beneficiary survives, they own the funds jointly in equal shares without rights of survivorship, unless state law provides otherwise or PenAir has permitted and documented a different arrangement.1
- Joint account with survivorship
Unless the account card indicates otherwise, a multiple-party account is a joint tenancy with right of survivorship, and a deceased owner's interest passes to the remaining owners, subject to PenAir's right of set-off or a pledge.1
PenAir "may not release any funds to a survivor until all required legal documents are delivered to us."1
- Joint account without survivorship
The deceased party's ownership passes as part of their estate under their will, trust, or intestacy.1
- Certificate of deposit
PenAir may, at its option, pay a certificate before maturity without the early withdrawal penalty when an account owner dies.2
- IRA
IRAs pass under the separate IRA beneficiary designation kept through Retirement Central.3
- Life insurance policy
PenAir members age 18 or older have $1,000 of credit-union-paid Accidental Death and Dismemberment (AD&D) coverage underwritten by Minnesota Life Insurance Company.4
State law on paying a balance without lettersFlorida
- Florida
Fla. Stat. § 735.303
Florida law permits a credit union to pay from a deceased member's balance on an affidavit made under oath, without letters testamentary or letters of administration.Fla. Stat. § 735.303Verified Oct 3, 2026View source
Paid to: family member (surviving spouse; else adult child; else adult descendant; else parent)
Limit: $2,000 held at the institution and $2,000 in total from every holder
When: not earlier than 6 months after the date of the decedent’s death
The section permits the payment. It does not require the credit union to make it. The section sets further conditions.
Accounts handled elsewhere4
- PenAir Mortgage Lending
Mortgages and home equity loans5
Phone: 1-850-505-3200 ext. 8360
Email: mortgageteam@penair.org
- PenAir IRA and HSA specialist
IRAs and health savings accounts6
Phone: 1-877-473-6247 ext. 8160
- PenAir Wealth Management
Retirement, rollovers, and portfolio management5
Phone: 1-850-505-3200 ext. 8332
- TruStage
Life & Disability (payment protection) claims4
What PenAir's agreement and guidance say5
- Debts owed to the institution
Sections 22 and 23 give PenAir a lien on all shares, securing any account owner's obligations, and a right of offset it can use without legal process or notice. Loan and credit-card balances owed to PenAir can be applied against the deposits.1
Section 14 lets PenAir use funds in any account in which the member has a beneficial interest, "regardless of the source, including but not limited to deposits of funds representing the payment of Social Security, Veterans benefits," to pay overdrafts or other debts owed.1
- Disputes between claimants
If people disagree about an account or PenAir is uncertain who is entitled to it, PenAir may hold the funds until everyone who may claim an interest agrees in a writing that meets its requirements, or until it receives a court order. It may instead deposit the funds with a court, deducting its attorney fees and costs.1
For an account subject to legal action, PenAir may pay out funds according to that action or hold them until the matter is resolved.1
- Payment to a minor or incapacitated beneficiary
For a payable-on-death beneficiary who is not of legal age, PenAir writes a check payable to the beneficiary and delivers it to the person who presents themselves as the parent or legal guardian, or as otherwise allowed by law.1
- Fees
Account owners agree to pay PenAir's costs and attorney fees if it successfully defends a claim brought by an owner, agent, personal representative, executor, heir, or other party in interest.1
- Dormant and unclaimed accounts
PenAir charges a $15.00 Monthly Inactive Account fee on a savings or checking account with no monetary activity for 12 months.7
Not in PenAir's published guidance5
- A procedure for reporting a death
- A claim form
- Whether the death certificate must be certified
- How long a claim takes
- Release of a sole-owner account without a beneficiary
Sources
Data sourced from PenAir primary sources (39 pages reviewed). How we research.
PenAir death claims support
Member Services
Phone
Main number
Lost card or fraud
Mortgage Lending
Wealth Management
IRA and HSA specialist
Mailing address
Website
Death notifications go through general customer service.
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