LGFCU lets you select the ownership type that addresses who manages and how money is managed in an account.
When you open a deposit account (e.g. share or checking), you can choose who will have access to the funds, and be accountable for taxes and other ownership responsibilities. Types of ownership include:
- An Individual Account is in the name of one individual member of the Credit Union.
- A Joint Account is owned by two or more LGFCU members with the right of survivorship.
- A Payable Upon Death Account will release funds only to designated beneficiaries.
The Uniform Transfer to Minors Act (UTMA) allows for an irrevocable gift to a person under 21 years of age. While the funds deposited into a UTMA account are owned by the minor, the adult custodian acts on behalf of the minor and any withdrawals from the account must be used for the benefit of the minor.
- Either the minor or the custodian must be a member of LGFCU.
- Only one custodian and one minor per account.
- Dividends are taxable income to the minor child, not the custodian.
- When the minor reaches age 21, the custodian must transfer the funds to a new account established in the former minor’s name, if eligible.
Personal Agency Account
A personal agency account is used when a member needs someone to carry out account transactions for them when they are unable to do so for any reason.
- Member has the right to appoint another person to act as agent for them in depositing and withdrawing funds from their account.
- The Personal Agent does not have any claim to the funds in the account.
- The Personal Agent’s authority ends upon death of the account owner.
Trust deposit accounts
Trusts give legal instructions regarding how property and assets will pass to beneficiaries. LGFCU offers both Irrevocable Trust and Revocable Living Trust deposit accounts.
- The trustee has control of the assets/funds.
- Assets are not subject to probate.
- At the time the account is opened, the trustee must present evidence of fiduciary capacity and evidence of his/her authority to open an account on behalf of the trust.
Estate Deposit Account
An Estate Deposit Account is established to provide the executor of an estate with an easy way to manage and distribute the estate’s property.
- The account can be opened by a representative of the estate.
- Online access provides a quick, convenient way to obtain copies of checks for estate settlement.
- Court documents showing the representative’s appointment and a death certificate must be provided at account opening.
Choose a way to set-up your account for a specific ownership type.
- Call 888.732.8562
- Visit your local branch