|
 |
Home >> Accounts >> Certificates of Deposit
Withdrawal from a Joint CD
I have a joint account with right of survivorship. This is a certificate of deposit. I have my niece named along with me as the customer name. Can she withdraw funds from my CD since we are both owners, or can she only do this after I die? Does she have to remove my name after I die?
|
|
 As you have described the account, each of you has the same legal right to the funds. Either of you could withdraw the funds at maturity or make an early withdrawal, if the bank will permit it. On your death, your niece would own the CD. It would not become part of your estate.
If that does not fit your intentions, you could re-title the account at its next maturity, so that your niece is not a joint owner, but is named as a Payable on Death beneficiary, or if your state doesn't recognize such accounts, you could change it to your name In Trust For your niece. That would deny your niece any access during your lifetime, but the account would become hers upon your death. Incidentally, this form of account designation can be revoked at any time prior to death. You should ask your banking professional for more details.
Published on BankingQuestions.com 10/16/08
|
| |
|
Accounts
Article
Q&A
Podcast
Video
Blog
Discussions
PDF
Powerpoint
