21-1783. Trust accounts.

172 words·~1 min read·/ne/chapter-21/21-1783

A research copy — for the controlling text, always check the official state or federal source. Not legal advice.

(1)Share accounts may be owned by a member in trust for a beneficiary.

(2)A beneficiary may be a minor, but no beneficiary, unless a member in his or her own right, shall be permitted to vote, obtain loans, or hold office or be required to pay a membership fee.

(3)Payment of part or all of such trust account to the party in whose name the account is held shall, to the extent of such payment, discharge the liability of the credit union to that party and to the beneficiary, and the credit union shall be under no obligation to see to the application of such payment.

(4)In the event of the death of the party who owns the trust account, the account funds and any dividends thereon shall be paid to the beneficiary if the credit union has not been given any other written notice of the existence or terms of any other trust and has not received a court order as to the disposition of the account.