Montana Code 15-62-210. Exemption from claims of creditors
15-62-210. Exemption from claims of creditors. (1) Except as provided in subsection (3), up to $100,000 of assets and earnings held in and distributions from the trust by or on behalf of an account owner, contributor, or designated beneficiary of a participating trust agreement are exempt from all claims of creditors of the account owner, contributor, or designated beneficiary.
Terms Used In Montana Code 15-62-210
- Account: means an individual account established under this chapter. See Montana Code 15-62-103
- Account owner: means the person who enters into a participation agreement and establishes an account on behalf of a designated beneficiary. See Montana Code 15-62-103
- Assets: (1) The property comprising the estate of a deceased person, or (2) the property in a trust account.
- 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
- Contributor: means a person who makes a contribution to an account for the benefit of a designated beneficiary. See Montana Code 15-62-103
- Designated beneficiary: means , with respect to an account, the person designated at the time that the account is opened as the person whose education expenses are expected to be paid from the account or if this person is replaced in accordance with 15-62-202, the individual replacing the former designated beneficiary. See Montana Code 15-62-103
- Program: means the family education savings program established pursuant to 15-62-201. See Montana Code 15-62-103
- State: when applied to the different parts of the United States, includes the District of Columbia and the territories. See Montana Code 1-1-201
- Trust: means the family education savings trust established by 15-62-301. See Montana Code 15-62-103
(2)Subsection (1) applies to assets and earnings held in and distributions from a qualified tuition program established and maintained by another state as provided by section 529(b)(1)(A)(ii) of the Internal Revenue Code, 26 U.S.C. § 529(b)(1)(A)(ii), if the owner, contributor, or designated beneficiary is a Montana resident.
(3)Assets, earnings, and distributions are not protected from claims if the contribution violates the Uniform Fraudulent Transfer Act provided for in Title 31, chapter 2, part 3, or 11 U.S.C. § 548.