Getting POA isn't that useful when dealing with financial accounts of a government retiree or beneficiary. It seems federal agencies don't care about POA. I called one and got a 'we're busy, call later' message so I thought I'd ask the group here:
Any OPM beneficiaries know if a new account is needed when I become Rep Payee or can I keep the existing one with my name added?
(I gave a notarized POA document to my LO's bank and now my name appears on their primary checking account with "ATF" in front of it.)
if so, if I’m not mistaken, they are an annuitant with the “retirement” paid to them is consider an annuity. But different than those annuities an insurance company sells. Fed annuitants follow similar rules to SSA as to flat out do NOT recognizing POAs.(nothing but fun, my dad was a Fed, retired, OPM paid him and then my mom an annuity and it can somewhat sticky to deal with, esp for FEHIB). So if they or their spouse is unable to manage their own finances so have to have a family member become a representative payee,I would suggest you contact the constituents services staffer at their US Congressman’s localoffice to help you with this. I’m partial to contacting your Congressman’s office as the step 1 on anything like this as they will know who to directly contact at the Federal level for a problem their constituent is facing. A congressman’s office calling a Federal agency or Federal contractor is going to get answers much quicker than you attempting to DIY stuff.
My guess is it will be best to have its own bank account and NOT commingled with a Trust account. Trusts tend to have their own unique TIN / taxpayer identification number. It’s something the attorney who set up the Trust likely discussed with the grantor when it was created. Personally, I would think you really want to have each separate so no questions or blowback as to commingling of income / assets. If you commingled and then years later had to segregate each& every item that will be a beast to do.
If so, this is a way way waaaaay different “trust” than a Trust that an estate planning attorney would do. The latter Trust is what Alva’s brother had set up and named her as Trustee for. Her late brothers Trust was done by an attorney for estate planning and there is/was likely real $$$$ and investments involved that composed the assets of her brothers Trust. This type of Trust is what I thought you were referring to & you were named Trustee for.
But if you’re actually referring to the trust the bank did - as there an ATF - then what your mom’s bank did is a “Totten Trust” for that account. This type of “trust” (Totten) gets the ATF attached to accounts that have a named upon death beneficiary. It’s a way to seamlessly have an account stay open after death but move over to the beneficiary named as per that ATF. The bank already has your info to shift the account to your name & SS#. It’s not a Trust like Alva dealt with.
Totten trust is like a POD or TOD (pay on death or transfer on death) that is placed on an account. What has to happen depends upon State banking laws and how this bank runs their system. Yours has it as ATF aka As Trustee For (Totten Trust). It’s a “trust” for a very specific purpose for a bank as it purely is only about the $ in that specific bank account as of day of death.
POD, TOD, or an ATF / Totten Trust, all have an after death beneficary named and is not part of the Estate. As the balance of the account - as of the day of death - transfers outside of probate, so not part of the Estate.
When I went to ALSO get made Rep Payee it was suggested by the SS person I met with that it would save me work to simply leave this Trust account as is, and allow his SS check to come to the Trust Account.
NOW, whether this was good advice or not, whether it would work for everyone everywhere always, I cannot say. My brother died after 1 1/2 years. It worked during that 1 1/2 years and I had no problems as his Executor/Trustee and only beneficiary at his death.
I would get this word DIRECTLY from the mouth of SS, myself. I would trust that, a Trust and Estate Attorney, OR probably the banker you work with, but I wouldn't trust just a general forum of folks. This is legal stuff in which, if you get it wrong you are in for a world of hurt.
Best of luck.