Common use of Payable on Death Accounts Clause in Contracts

Payable on Death Accounts. Except as otherwise provided by applicable law, when an account beneficiary is named through any method prescribed by us, a Payable on Death (POD) Account is established in order to designate the surviving POD beneficiary(ies) of a single-party account. All POD beneficiary designations made or changed must be authorized by valid electronic signature of the account owner to be enforceable. In the event that the account owner does not provide signed authorization for any POD beneficiary designations (for example, at the time of opening an account or at the time of adding a beneficiary or changing the beneficiary designations), the account will be considered not to have an enforceable beneficiary designation and the remaining funds in the account will be paid to the deceased owner’s estate. However, if we determine that the signature of any account owner is not valid or is missing, we will enforce the immediately preceding beneficiary designation, if any, authorized by valid signature of the account owner at that time. • If more than one POD beneficiary is named, the remaining funds in the account will be paid to all such beneficiaries who survive the death of the deceased owner, divided equally among the beneficiaries who survive the death of the deceased owner. If a named beneficiary does not survive the death of the deceased owner, their share of the remaining funds in the account will be divided equally among surviving beneficiaries. In the event a minor is named beneficiary, we reserve the right to pay remaining funds in the account to persons permitted to receive such funds according to applicable state and/or federal laws, as determined by us. • If no beneficiaries are living at the time of the death of the deceased owner, the remaining funds in the account will be paid to the deceased owner’s estate. We recommend you obtain an independent legal opinion if you have questions about how your beneficiary designations may be affected by applicable state law.

Payable on Death Accounts. Except as otherwise provided by applicable law, when When an account beneficiary is named through any method prescribed by usMSUFCU, a Payable on Death (POD) Account is established in order to designate the surviving POD beneficiary(ies) of a singlesingle- or multiple-party account, excluding Conservator Accounts, Estate Accounts, Representative Payee Accounts, Trust Accounts, Individual Retirement Accounts (IRAs), Heath Savings Accounts (HSAs), and Xxxxxxxxx Education Savings Accounts (CESAs). Beneficiary designation for IRAs, HSAs, and CESAs are established separately. We are not required to inform the beneficiary of the establishment of any such account or their vested interest in any account, unless required by law. All POD beneficiary designations made or changed must be authorized by valid electronic signature of the all account owner owners to be enforceableenforceable (including signature(s) through an electronic process). In the event that the all account owner does owners do not provide signed authorization for any POD beneficiary designations (for example, at the time of opening an account account, or at the time of adding a beneficiary or changing the beneficiary designations, or at the time that a joint owner is added to the account), the account will be considered not to have an enforceable beneficiary designation and the remaining funds in the account will be paid to the deceased last surviving owner’s estate. However, if we determine MSUFCU determines that the signature of any account owner is not valid or is missing, we MSUFCU will enforce the immediately preceding beneficiary designation, if any, authorized by valid signature signature(s) of the account owner owner(s) at that time. • If more than one POD beneficiary is named, the remaining funds in the account will be paid to all such beneficiaries who survive the death of the deceased last surviving owner, according to the percentage previously designated for each beneficiary. If no percentages were previously designated, the remaining funds in the account will be divided equally among the beneficiaries who survive the death of the deceased last surviving owner. If the percentages that were designated do not total 100%, the remaining funds in the account will be divided equally among the beneficiaries who survive the death of the last surviving owner, regardless of the percentages designated for the named beneficiaries. If a named beneficiary does not survive the death of the deceased owneraccount owners, their share of the remaining funds in the account will be divided equally among surviving beneficiaries. In • If no person designated as a POD beneficiary is living at the event a minor is named beneficiarytime of the death of the last surviving owner, we reserve the right to pay remaining funds in the account will be paid to persons permitted to receive such funds all named contingent beneficiaries then living, according to applicable state and/or federal lawsthe percentage previously designated for each contingent beneficiary. If no percentages were previously designated, as determined by usthe remaining funds in the account will be divided equally among the contingent beneficiaries who survive the death of the last surviving owner. If the percentages that were designated do not total 100%, the remaining funds in the account will be divided equally among the contingent beneficiaries who survive the death of the last surviving owner, regardless of the percentages designated for the named contingent beneficiaries. If a named contingent beneficiary does not survive the last surviving owner, their share of the remaining funds in the account will be divided equally among surviving contingent beneficiaries. • If no beneficiaries or contingent beneficiaries are living at the time of the death of the deceased last surviving owner, the remaining funds in the account will be paid to the deceased last surviving owner’s estate. We recommend you obtain an independent legal opinion if you have questions about how your beneficiary designations may be affected by applicable state law.