Scottrade brokerage account beneficiary


Firms may reject the documents they receive because they are not signed in the appropriate capacity for example, executor, survivor, trustee or have been completed incorrectly for example, by transposing certificate numbers.

Documents may also be rejected if information on the document has been altered, or the documents are outdated or missing the appropriate court seal. Once the necessary documents are received, a new account is typically set up for the beneficiary or estate, at which time securities registered in the name of the deceased person will be transferred. Generally, no account activity buying, selling, transfer of the account to another firm can occur until legal authority is established and the new account is opened.

As with any new account, the process will include filling out a new account application that will require the beneficiary to provide some personal information and make certain decisions about the account. Brokers use this information for several purposes, including learning about the new account owner and her financial needs, and meeting legal and regulatory obligations. If you are a beneficiary opening a new account , expect to be asked to provide information such as your Social Security number, annual income and net worth, among other things.

You should also take time to get to know your broker and firm: Find out how the account is managed: It's also important to understand the investments in the account. If you aren't sure what an investment is, or what role it plays in the overall financial plan, ask your broker.

If you are an heir or beneficiary to brokerage account assets, these tips can help the asset transition process go smoothly:.

Notify the firm in a timely manner of an account holder's death. If you aren't sure whether the deceased had a brokerage account, keep an eye out for account statements or other indications that an account exists. Know what you own. Upon taking ownership of the account assets, take time to understand your investment holdings and determine whether they are right for you.

In particular, learn about the risks of each investment, if there are any restrictions on when you can sell the investment liquidity risk and any fees or other costs associated with the investment. Investigate the pros and cons of selling investments. If you plan to sell assets, there likely will be costs and tax consequences from the sale.

Selling decisions should align with your overall investment objectives. Consider consulting a tax advisor for guidance. Assess whether the current firm and broker are right for you. You are not required to stay with the deceased person's firm or the broker who handled the account—and you should not be pressured to do so. That said, don't feel compelled to transfer your account to another firm, and don't transfer assets or buy new ones without doing your due diligence about the firm, investment professional and investments.

Firms may reject the documents they receive because they are not signed in the appropriate capacity for example, executor, survivor, trustee or have been completed incorrectly for example, by transposing certificate numbers. Documents may also be rejected if information on the document has been altered, or the documents are outdated or missing the appropriate court seal. Once the necessary documents are received, a new account is typically set up for the beneficiary or estate, at which time securities registered in the name of the deceased person will be transferred.

Generally, no account activity buying, selling, transfer of the account to another firm can occur until legal authority is established and the new account is opened. As with any new account, the process will include filling out a new account application that will require the beneficiary to provide some personal information and make certain decisions about the account. Brokers use this information for several purposes, including learning about the new account owner and her financial needs, and meeting legal and regulatory obligations.

If you are a beneficiary opening a new account , expect to be asked to provide information such as your Social Security number, annual income and net worth, among other things. You should also take time to get to know your broker and firm: Find out how the account is managed: It's also important to understand the investments in the account. If you aren't sure what an investment is, or what role it plays in the overall financial plan, ask your broker. If you are an heir or beneficiary to brokerage account assets, these tips can help the asset transition process go smoothly:.

Notify the firm in a timely manner of an account holder's death. If you aren't sure whether the deceased had a brokerage account, keep an eye out for account statements or other indications that an account exists. Know what you own. Upon taking ownership of the account assets, take time to understand your investment holdings and determine whether they are right for you.

In particular, learn about the risks of each investment, if there are any restrictions on when you can sell the investment liquidity risk and any fees or other costs associated with the investment. Investigate the pros and cons of selling investments.

If you plan to sell assets, there likely will be costs and tax consequences from the sale. Selling decisions should align with your overall investment objectives. Consider consulting a tax advisor for guidance. Assess whether the current firm and broker are right for you. You are not required to stay with the deceased person's firm or the broker who handled the account—and you should not be pressured to do so.

That said, don't feel compelled to transfer your account to another firm, and don't transfer assets or buy new ones without doing your due diligence about the firm, investment professional and investments.