Guide for Handling a

Deceased Member’s

Estate, Assets, and Debts

SECU would like to extend our sincere condolences on the loss of your loved one. It is never easy to have a

loved one pass away, and we understand this can be a difficult and overwhelming time. This guide is designed

to answer any questions you may have regarding the account settlement process. SECU is here to help you

through this entire process and to sort through the next steps with you. Our goal is to make handling the settle-

ment as seamless as possible.

This guide is meant to be a general overview of the account settlement process. It is not meant to address all

ter during the settlement process. If appropriate, contact the probate court or its equivalent in the jurisdiction

where the assets are located for further information on the probate process

General Information:

We recommend that you settle these accounts as soon as possible. SECU will continue reporting to the Inter-

nal Revenue Service (IRS) under the deceased’s Social Security Number (SSN) until the account is closed. By

taking prompt action, you can avoid complications resulting from continued IRS reporting under the deceased’s

SSN. We cannot predict how long it will take for an account to settle without understanding the scope of an

individual’s circumstances.

If you are inquiring regarding a deceased’s member’s business accounts or commercial real estate loans, please

Contact Business Services at 800-879-7328, Option 3.

• Certified copy of the death certificate (required)

• Photo ID (required for claimants and/or estate representatives)

• Deceased member’s account number(s) with SECU

• Any applicable court papers; e.g. appointment of executor or representative, letters of testamentary, letters

of administration, etc.

We may require additional documentation based on the account structure. We will notify you if we need any-

thing further.

What to Expect on Deposit Accounts:

Checking, Savings, & Money Market accounts

• Single Owner Accounts with designated Payable on Death payee(s) will be closed and any remaining funds

the surviving joint owner can choose to have the accounts retitled in their name.

• Any Debit and/or ATM cards must be deactivated to prevent unauthorized use.

Certificates of Deposit (CD’s)

• Single Owner Accounts with designated Payable on Death payee(s) will be closed and any remaining

funds will be distributed equally to the designated Payable on Death payee(s) once any open loans have

been satisfied.

• Single Owner Accounts with no designated Payable on Death payee(s) will be closed and any remaining

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and maturity date as the original.

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same dividend rate and maturity date as the original or close the certificate without a penalty

Individual Retirement Accounts (IRAs)

• We will place the funds into an Inherited IRA under the beneficiary(s) name and tax identification number,

due to reporting requirements by the IRS. The Beneficiary IRA will be titled to reflect the ownership as a

Beneficiary IRA. The Beneficiary Packet will then be created and mailed out.

Due to tax implications and the complexity of IRA accounts, please contact us for further details.

Automatic Payments

There are three types of automatic payments that will be addressed once SECU receives notification that a

member is deceased:

• Bill Pay – We will discontinue the automatic payments from the SECU Bill Pay system.

name of the deceased member received after the date of death will be returned.

• Any federal payments received in the deceased account holder’s name after the date of death must be re-

turned to the U.S. Treasury per federal regulation. Common federal payments include (but are not limited to)

Social Security Benefits, Department of Veterans Affairs Benefits, USA Railroad Retirement. Any payments

returned to any agencies must be settled directly with the agency. All federal payments received after the

date of death are subject to reclamation by the U.S. Treasury.

We often receive notices from the U.S. Government stating that a member is deceased. Once we receive notice,

we reserve the right to begin our process. If you have questions regarding a Federal Benefits Payment, please

If for any reason you believe you will have difficulty making the payments, or you wish to surrender the property,

contact our Default Management team:

• For Mortgages call: 855-308-1235

• For all other loans call: 855-308-1236

Mortgages/Home Equity Loans

• For single borrower accounts, please have the Successor in Interest contact us for further information.

Please see the Important Phone Numbers section for contact information to reach SECU.

Credit Cards

name. Co-borrowers should continue to make regular payments on the credit card account. Statements will

continue to be issued and addressed to the new primary card holder.

Auto Loans/ Personal Lines Of Credit

• For single ownership accounts, we will contact the appropriate individuals to determine if the loan will be

refinanced, paid off, or surrendered (for auto loans only).

• If you are a co-borrower, we will contact you to see if you would like to retain or close out the loan. If you

choose to keep the loan account open, you will be responsible for the monthly payments on the loan. If you

don’t wish to keep the loan, it will need to be paid in full and closed out.

Automatic Payments

If automatic payments are deducted from the deceased member’s external and internal account(s), SECU can

assist you with updating payments.

General Questions

The following frequently asked questions will help you understand what to expect with the account settlement

process.

1) What if the Payable on Death payee/Beneficiary(ies) hasn’t received the beneficiary documents?

The beneficiary(ies) contact information may have changed. Please contact the SECU Operations Department

using the contact information providing an updated mailing and/or email address. Once

the request is reviewed and the beneficiary has been validated, the beneficiary documents can be sent to the

updated address.

You can reach the Social Security Administration at 1-800-772-1213 or visit their website at www.ssa.gov.

• a certified or original copy of the birth certificates of the spouse and minor children

• divorce papers if the divorced spouse is applying for benefits

4) I am the designated Personal Representative of the estate but I am not a joint owner on the deceased’s ac-

counts. Will I be able to access information on the account, such as which checks have cleared?

Yes. Once probate documentation is provided stating that you are the Personal Representative of the estate, you

will be entitled to all account information.

5) Does SECU offer Estate Accounts?

SECU Operations Department Contact Information for Deceased Account Information:

Should you have questions regarding this process, you may use the following communication channels

to reach us.

• Phone: 855-308-1237 Option 1

• Mail:

SECU Credit Union

Attn: Operations – Decedent Claims

PO Box 2148

Glen Burnie, MD 21060

• Email: [email protected]

• Branch: Visit your nearest branch location to speak with a representative who can help you through

• Internal Revenue Service (IRS):

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Be Prepared to Fax:

The deceased taxpayer’s death certificate, and

either copies of Letters Testamentary approved by the court, or IRS Form 56, Notice

Concerning Fiduciary Relationship (for estate executors)

www.IRS.gov

• SSA (Social Security Administration):

800-772-1213

• US Treasury:

202-622-2000

www.treasury.gov

Financial Advice and Planning