Are your beneficiaries up to date?

An account beneficiary is someone designated to receive the assets held in an account after the account holder’s death. Estate planning isn’t a lot of fun, but it is necessary if you don’t want to cause a great deal of stress and expense for those you leave behind. It is important to list at least one beneficiary on your account to ensure your funds are allocated appropriately.

Many members are tempted to think that once a will is made, the work is done. However, it’s important to realize that a listed beneficiary overrides a will. No matter how explicit you are in your will and no matter how many witnesses sign, if the beneficiaries on an account are different, it’s the listed beneficiary that gets the money.

When you experience a major life change, it’s important to review your beneficiary information, and change it to reflect your wishes. Many people forget to change beneficiaries on their accounts when a spouse dies or when there is a divorce. This can be a devastating mistake. Your listed beneficiary will receive the money regardless of your current relationship or non-relationship with them.

Credit Union of Denver does have a beneficiary form so you can update this information on your account. If it is not convenient for you to come in to make these account changes, you can access the form here. Once the form is complete you can mail it back to us or send it through our Secured Portal located on the bottom of this page along with a copy of your ID.



Article written by Tom Drake with enhanced by Credit Union of Denver