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#1717881 - 07/06/12 07:50 PM Account Title Changes-in the event of Death
august Offline
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Joined: Feb 2005
Posts: 10
We have a procedure written many years ago that states: In the case of death, a title change on the account is not allowed if there are multiple POD's. An account titling change can occur if there is only one POD. We are wondering if anyone has an opinion on why this would be the case?

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#1717931 - 07/06/12 08:39 PM Re: Account Title Changes-in the event of Death august
Doug Hendrickson Offline
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Doug Hendrickson
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Without knowing the background, I'm presuming that whoever wrote the procedure felt that if the sole POD wanted to keep the funds in the account, they could just re-title it in the PODs name. If there were multiple PODs, re-titling would require all of them to agree to a joint account with the others.

Our philosophy has always been, pay the beneficiaries and close the account. If any of them chooose to keep the money with us, we'll open a new account under their name(s). This avoids a host of problems.
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I hear and I forget. I see and I remember. I do and I understand.--Confucius

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#1717940 - 07/06/12 08:55 PM Re: Account Title Changes-in the event of Death august
BurntSienna Offline
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Joined: Aug 2006
Posts: 2,407
Midwest
We do the same as Doug indicates. Keeps the headaches to a minimum.
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"Gratitude makes sense of our past, brings peace for today, and creates a vision for tomorrow." - Melody Beattie

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#1718012 - 07/09/12 11:35 AM Re: Account Title Changes-in the event of Death august
Elwood P. Dowd Offline
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Elwood P. Dowd
Joined: Aug 2001
Posts: 21,939
Next to Harvey
My store of anecdotes about the problems banks caused themselves by doing things the easy way; e.g. using file maintenance a a method to change account ownership, grows every year. As indicated:

Quote:
pay the beneficiaries and close the account


The person who wrote your original procedure limiting the practice of editing account titles to a single POD beneficiary was smart, just not as smart as he might have been.
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In this world you must be oh so smart or oh so pleasant. Well, for years I was smart. I recommend pleasant.

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#1718314 - 07/09/12 08:24 PM Re: Account Title Changes-in the event of Death august
august Offline
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Joined: Feb 2005
Posts: 10
Thank you all for your feedback, this was my line of thinking.

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