Trying to add beneficiaries to bank accounts in un-equal percentages

[gmc727]

What is the name of your state (only U.S. law)? IL

In order to avoid probate on simple bank accounts like checking, savings, CD's, etc., I would like to add a beneficiary designation. What I am finding is that banks will offer this to me, but their forms require EQUAL-percentage beneficiaries. I have three beneficiaries in UN-equal percentages. They just can't handle that. For "retirement" type accts like an IRA, they can handle any beneficiary designation you want, but NOT for simple deposit-style accounts.

Is there a better way to accomplish my goal? I know a trust solves this problem, but in my case, that option is unavailable and not possible.

So the bottom line is, how can you set up simple bank accounts to pass to un-equal beneficiaries to avoid probate when the 2nd joint owner passes away? These accts are now held JTWROS.

Thank you.

 

[curb1]

Have you tried different banks. I found out that the banks can change their stance if you suggest that you will just withdraw the money and move it. Why not open a money market (or banking account) account with an E*Trade, Ameritrade. They are great and as easy as a regular bank account with checking, CDs or anything else you want.

 

[gmc727]

Have you tried different banks. I found out that the banks can change their stance if you suggest that you will just withdraw the money and move it. Why not open a money market (or banking account) account with an E*Trade, Ameritrade. They are great and as easy as a regular bank account with checking, CDs or anything else you want.

I thought of moving the cash to a brokerage acct, but I don't know if I lose the FDIC insurance that a bank account offers.

 

[TrustUser]

i havent found any bank that would do that, either.

i doubt that a threat to go somewhere else will accomplish anything. it isnt that the bank doesnt want to help. they simply cant do that.

do the bank balances vary a lot ?

you could always set up several bank accounts, each with respective amounts in them, and then deposit and withdraw from them, such that their percentages stay reasonably the same ?

you might also check with some credit unions in your area. they may have forms that allow this - to be honest, i havent checked in a long time, since i have all my stuff in trust

 

[gmc727]

i havent found any bank that would do that, either.

i doubt that a threat to go somewhere else will accomplish anything. it isnt that the bank doesnt want to help. they simply cant do that.

do the bank balances vary a lot ?

you could always set up several bank accounts, each with respective amounts in them, and then deposit and withdraw from them, such that their percentages stay reasonably the same ?

you might also check with some credit unions in your area. they may have forms that allow this - to be honest, i havent checked in a long time, since i have all my stuff in trust

A credit union is a really good idea - it's worth checking into.

Thanks for the idea.

 

[OHRoadwarrior]

Why don't you open 3 accounts, each with a beneficiary. You can use 3 different banks to avoid an issue.

 

[gmc727]

Why don't you open 3 accounts, each with a beneficiary. You can use 3 different banks to avoid an issue.

That is an excellent idea. That could work.

 

[curb1]

The brokerage accounts work excellent and very simple. There is so much more flexibility than all other types, including credit unions (I use both, however). The money market acts as a checking account, savings account or you can easily buy stocks or bonds out of the same account. They are covered by insurance the same (or more) than bank accounts.