Custodial Savings Account
A safe way to gift and save money for a minor.
Give a Gift That Grows
Simpler to set up than a trust account and more flexible than a Coverdell ESA.
Benefits of Custodial Savings Account
Insured
Each account is insured up to $250,000. These accounts are insured separately from the minor’s other URW accounts and from the custodian’s URW accounts.
No Legal Fees
You don’t have to pay any legal fees.
No Contribution or Income Limits
There are no limits to how much you can contribute to a custodial account each year.
What You Need To Open a Custodial Savings Account
- The donor and the custodian need to complete a Custodial Account application. You can get an application online or by visiting any branch.
- Name and Social Security Number of the minor.
- The minor must be a member with an active Share Savings Account. As long as each account has a different custodian, a minor may have multiple custodian accounts.
Custodial Savings Account FAQs
See all FAQs.
Donor Responsibilities The donor is the person who provides the funds and appoints the custodian. Donor gifts are irrevocable, not tax-deductible and can only be made during the donor’s lifetime.
Custodial Responsibilities The custodian manages how the funds are spent or invested once the account is opened. The custodian is the only signature holder on the account and the only person who can perform transactions on the account, which can only be used for the benefit of the minor. Funds may be invested in a savings account or URW certificates. The custodian is responsible for transferring the funds to the minor. This can be done in writing, by visiting a branch or by calling 434.793.1278.
If the custodian dies before the minor turns 21 and no successor custodian was named, a successor custodian will be designated by will or legal appointment. If the deceased custodian’s spouse is the parent or guardian of the minor, the spouse may be named successor custodian. URW should be notified of any successor custodians.