My parents owned a joint TOD account. Their children were the designated secondary beneficiaries when they both had the mental capacity to make such decisions. After our parents moved to a nursing home a couple of years later, the doctor determined that neither parent was mentally capable of making financial decisions. That information was given to the financial advisor in writing. When Mom died before Dad, the firm closed the joint account and set up a single account for Dad. It was the same money but a new account number and type of account. They did not list beneficiaries for the new single account since they said Dad could no longer make those decisions. Mom and Dad determined the beneficiaries when they were still capable of making decisions, and the financial advisor was reminded of that by my father during subsequent meetings. How is it possible for them to set up a single account without listing the children as beneficiaries, knowing that was our parents’ intent?
No question, answer, or discussion of any kind facilitated on this site is confidential or constitutes financial or legal advice. Questions answered are selected based on general consumer interest, and not all are addressed. Questions and answers may be displayed online and archived by Wealthtender. Wealthtender is a trusted, independent financial directory and educational resource governed by our strict Editorial Policy, Integrity Standards, and Terms of Use. While we receive compensation from featured professionals (a natural conflict of interest), we always operate with integrity and transparency to earn your trust. Wealthtender is not a client of these providers.Â