FWIW, only one beneficiary is allowed in the registration of Treasury Direct bonds.
I have two kids, and wanted to name them both. After an hour trying and retrying on the treasury direct website, then searching their help pages, then googling (and eventually feeling a tad frustrated, like a laboratory rat in a maze), I emailed treasury direct. Buried within the reply was this:
"you can only name one beneficiary on each security. If you want to have both children as beneficiaries you will need to decide which child you want listed on which security. They cannot both be listed on the same securities."
Wish they had put this somewhere in their help pages.
So if you want your EE bonds or I-Bonds to be "Payable On Death" to make things simple for your heirs, you need to buy separate bonds for each heir.
Treasury Direct - only one beneficiary allowed
Re: Treasury Direct - only one beneficiary allowed
Yep, my mom does this for grandma, she buys $3,333.33 * 3, one I bond for each child.
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Re: Treasury Direct - only one beneficiary allowed
I believe that's how it was in the days of paper bonds: one co-owner OR one beneficiary, not both.
Re: Treasury Direct - only one beneficiary allowed
This raises another question I've been wondering about. We (my wife and I) have a bunch of iBonds. Some are in my name and some are in hers and we each have the other listed as beneficiary. If one of us dies they will obviously all end up in the name of the survivor. At that time can the survivor (who would then be primary owner of all of them) add a new beneficiary?
Friar1610 |
50-ish/50-ish - a satisficer, not a maximizer
Re: Treasury Direct - only one beneficiary allowed
Yes, the survivor will just have to fill out a form.friar1610 wrote:If one of us dies they will obviously all end up in the name of the survivor. At that time can the survivor (who would then be primary owner of all of them) add a new beneficiary?
Re: Treasury Direct - only one beneficiary allowed
It's important this be handled promptly.HueyLD wrote:Yes, the survivor will just have to fill out a form.friar1610 wrote:If one of us dies they will obviously all end up in the name of the survivor. At that time can the survivor (who would then be primary owner of all of them) add a new beneficiary?
If both owners die, to redeem or retitle the bonds, you will be required to submit both death certificates as well as a letter of testamentary. They must be processed at a special office which handles bonds of the deceased. This I know from direct experience, having inherited "A or B" bonds at the passing of the second. It was very challenging.