What is the requirement on who can be named as a POD beneficiary on depositaccounts? Can someone name a business as the beneficiary? What about a charity?
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Who or what will qualify as a "pay on death" beneficiary for a deposit account will be controlled by applicable state law. Many states describe the term "beneficiary" as a "person," without indicating whether that person must be an individual (a "natural person"). Unless there are other state restrictions of which we aren't aware, a charity or a business may qualify as a POD beneficiary in those states that recognize POD account designations.
We believe, however, that few accounts are established with charities as POD beneficiaries, and that very few, if any, name businesses in that role.
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Who or what will qualify as a "pay on death" beneficiary for a deposit account will be controlled by applicable state law. Many states describe the term "beneficiary" as a "person," without indicating whether that person must be an individual (a "natural person"). Unless there are other state restrictions of which we aren't aware, a charity or a business may qualify as a POD beneficiary in those states that recognize POD account designations.