Now is the time to think about your family's future! Give your child, grandchild, niece or nephew a head start on the road to financial independence and help them with life's major investments like college, a car or their first home.
A Custodial Account is opened by a person who wants to make an irrevocable monetary gift to a youth under 21 years of age. The custodian can be a parent, grandparent, aunt, uncle or any other family member over the age of 18. The custodian does not need to be a PSECU member, but the youth must be eligible for membership.
Benefits of the Custodial Account- Lifetime PSECU membership
- Custodian can make deposits into youth's account without the need of a court-appointed guardian
- The convenience of an ATM card available 24 hours a day, seven days a week for the custodian to make deposits and withdrawals
- Checking - FREE PSECU basic-style checks - No minimum balance, no monthly fees, and unlimited check writing
Account Guidelines
If the youth is under 12-years old, a Custodial Account will need to be opened. If the youth is between 12 and 21 years of age, the custodian may open the following accounts for the youth:
- Regular (non-custodial) joint account
- Custodial account
- or both
Or, the youth may open a Regular account.
Once the youth reaches 21 years of age, the custodian must turn the account over to the youth. Once turned over, the Custodial Account is closed and a regular account can be opened.
Checking, ATM access and psecu@home online account access are available on these accounts. IRAs and loans may not be assigned to Custodial Accounts (exception: Educational IRAs are permitted). PSECU may not use the account to offset any outstanding balance of the donor or custodian.
The custodianship terminates when the minor reaches the age of 21, for property given to the minor as a gift. It is the custodian's responsibility to make all arrangements necessary for the transfer of property to the actual owner of the funds at the direction of the custodian or the court, not upon the request of the beneficiary.
If the custodian wishes to give the money to the minor and the minor is 12 or older, the Custodial Account is closed and the minor completes a regular membership application. Alternatively, the Custodial Account may be retained and an additional account can be established by a minor 12 or older.
*The minor is the sole owner of the account. The custodian cannot use the funds for himself or herself, nor can the account be used as security for a loan. Only the custodian may make withdrawals and it is the custodian's responsibility to use the funds for the minor. If you have questions about your rights and responsibilities under Pennsylvania's Uniform Transfer to Minor Act, refer to PSECU's disclosures and consult an attorney. PSECU takes every precaution to protect children's privacy, whether they are visiting us online or through one of our other service delivery avenues.
Form: PSECU #2116 Rev. 05/06