We have a custodian of a WUTMA account where the beneficiary has reached the age of majority. The custodian would like to close the WUTMA account and open an account in just their name (the custodian) using the funds. My thought is, if the custodian would like to close this account, we would issue a check titled exactly how the account is titled. The custodian would be able to open another WUTMA account I suppose with that check, but they would not be able to open an account in just their name unless the beneficiary signed off on that. Otherwise, the custodian should endorse the check as the custodian and hand it over to the beneficiary. Am I right on this? The custodian opening up their own account with the funds seems against the spirit and intent of what the WUTMA account is for.

54.892  Termination of custodianship. The custodian shall transfer in an appropriate manner the custodial property to the minor or to the minor's estate upon the earlier of:

(1) The minor's attainment of 21 years of age with respect to custodial property transferred under s. 54.860 or 54.862;

(2) The minor's attainment of 18 years of age with respect to custodial property transferred under s. 54.864 or 54.866; or

(3) The minor's death.

You are correct and the bank should stay out of the middle of this.

And part of staying out of the middle of it is to realize that the custodian cannot open another WUTMA account on behalf of the same beneficiary. The basis for UTMA laws is that the beneficial owner of the funds is a minor. You already know that the "minor" has reached the age of majority.

Thank you both for your help with this. It is much appreciated.