Deceased Member Procedure
Revised 05/10
All Accounts:
1.
When notification is received, the member’s account should be marked with a scrolling
message showing date of death. In the FSP on the MEMBER MAINTENANCE screen, click on
MEMBER DETAILS, on the right side of the screen in the DATES section, enter the date of death.
The Date of Death entered into member details stops ACH transaction on the account. Also, at
the top of the same screen, click on MESSAGE and enter “Member deceased XX/XX/XX” and
click Finish and No for “Is this a member request?”. If we have received notice through an
obituary, please mail out sympathy card and letter of information as soon as possible.
2. The deceased ATM/Debit card needs to be hot carded and closed on both Elan and FSP. Please
follow normal instructions for hot carding debit cards on both systems.
3. Government benefits, SSI, etc., received after the date of death must be returned to the
originator or a stop payment should be placed on the receiving account to prevent further
credits from posting. This should be at no charge to the member.
4. Recurring debits should be blocked with a stop payment unless a joint owner submits a request
in writing that they be allowed to continue. Preferably, the joint owner will open a new account
with a checking account and transfer the entire balance available from the deceased account
and the originator of the debit can be notified of a change with the new account numbers.
For Joint Accounts:
The joint owner(s) has the right of survivorship on all accounts except IRAs. The joint owner will be
disbursed all the funds per the Deceased Member Worksheet following:
If there was an insurance beneficiary designated, that person will receive the Life Savings benefits. If
none is named, the joint owner becomes the beneficiary of the Life Savings benefits.
If there is no joint owner, the funds in the account are given to the Court Appointed Personal
Representative who presents you with a raised seal original copy of the appointments. The funds should
be payable exactly as the appointment states.
Does the Member have any loans covered with Credit Disability Insurance or Credit Life insurance?
To determine:
In FSP, go to the LOANS tool bar. Click on LOAN MAINTENANCE. In the drop down box, choose the loan
to be viewed and click LOOKUP. When the information comes up, click on the second tab, LOAN
DETAILS and the insurance code will be on the right side, second blank down. Repeat this step for all
loans.
Please check transaction history on those covered with both and determine if loan is receiving Credit
Disability payments at that time.
If covered by either, please refer to loan officer to file claim.
Does the member have any loans that are not covered by Credit Life?
Notify the Collection Officer and Branch Vice President at this time to determine how the loan needs to
be handled.
Does the contact person know of any account which this member is joint on that may need to have a
beneficiary change?
Is any other account number receiving benefits from this member?
When changing beneficiary on the contact and other joint owners’ accounts consider all possible
associations, ie Shares, IRAs, ATM, Loans, etc.
Does this member have a VISA account with us?
Is it individual or joint?
If it is individual, close card.
If joint, 1) is the joint owner a member, 2) do they have their own account, and 3) do they qualify for the
VISA on their own?
Does the VISA have Credit Life Insurance on it? If so, have originating loan officer file the claim.
If not, please notify Collections Officer and Branch VP.
Does this member have a checking account?
The checking account needs to be closed and a new number assigned under a new member number for
the joint owner.
If the joint owner has a debit card, the number can be transferred to the new account.
Please notify Accounting of any recurring debits for notice of changes to be sent. Please obtain written
notification for continued debits until the account is closed and a new number assigned.
Does the member have a DEBIT Card?
Hot card the deceased member’s card on both sides
Inform joint owner of new account and card.
Does the member have CDs?
What are the maturity dates on the CDs and what do we do with the funds when they mature?
Does the deceased member have any IRAs at the Credit Union?
File notice of death using IRA Direct/Acensus
Disperse funds per IRA Direct Instructions.
Life Savings Claim information
File claim using CUNA Mutual Credit Claims.
Use Deceased Member Worksheet to calculate amounts: