Delaware Code Title 14 Sec. 3490 – Designated beneficiary
(a) An account owner shall have the right at any time to change the designated beneficiary of an account to another individual who is a member of the family of the former designated beneficiary, and, in the case of an account owner which is a trust, to another person who is also a beneficiary of the trust.
Terms Used In Delaware Code Title 14 Sec. 3490
- Account: means an individual account, a trust account or a savings account established in accordance with this subchapter. See Delaware Code Title 14 Sec. 3485
- Account owner: means the individual, individuals, or the trustee of a trust identified at the time the account is opened as having the right to withdraw funds from the account. See Delaware Code Title 14 Sec. 3485
- Beneficiary: A person who is entitled to receive the benefits or proceeds of a will, trust, insurance policy, retirement plan, annuity, or other contract. Source: OCC
- Board: means the Plans Management Board pursuant to § 2722 of Title 29. See Delaware Code Title 14 Sec. 3485
- Designated beneficiary: means , except as provided in § 3490 of this title, the individual designated at the time the account is opened as having the right to receive a qualified withdrawal for the payment of qualified education expenses or, if such designated beneficiary is replaced in accordance with § 3490 of this title, such replacement. See Delaware Code Title 14 Sec. 3485
- Trust: means a trust which is revocable or irrevocable and which has at least 1 individual as its current beneficiary. See Delaware Code Title 14 Sec. 3485
(b) An account owner shall have the right at any time to direct that all or a portion of an account be transferred to the account of another beneficiary if the designated beneficiaries are members of the same family, and, in the case of an account owner which is a trust, to the account of another beneficiary if the designated beneficiary is also a beneficiary of the trust.
(c) The right to change the designated beneficiary or to transfer between accounts contained in subsections (a) and (b) of this section may be denied if, under regulations adopted by the Board, the exercise of the right would result in either excess contributions to an account or the exercise of impermissible investment direction by the account owner.
71 Del. Laws, c. 71, § ?1; 73 Del. Laws, c. 188, § ?2; 76 Del. Laws, c. 149, §§ ?6, 7;