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The Vermont Statutes Online



Title

08

:
Banking and Insurance






Chapter

222

:
POWERS






Subchapter

002
:
DEPOSITS IN GENERAL










 

§

32203. Trust deposits; payment on death of trustee

(a) When a

deposit is made in a credit union by one or more persons in trust for another,

the name and residence of the person for whom the deposit is made shall be

disclosed, and the deposit shall be credited to the depositor or depositors as

trustee for such person.

(b)(1) The

credit union may accept deposits:

(A) in the name

of a member in trust for a member beneficiary;

(B) in the name

of a member in trust for a nonmember beneficiary; or

(C) in the name

of a nonmember trustee for a beneficiary who is a member.

(2) No

beneficiary or trustee, unless a member in his or her own right, shall be

permitted to vote, obtain loans, or hold office, or be required to pay an

entrance or membership fee.

(c) When other

notice of the existence and terms of a legal trust is not given in writing to

the credit union, at the death of the trustee, or if there is more than one

trustee, at the death of the surviving trustee, the deposit or any part

thereof, with the interest thereon, may be paid to the person for whom the

deposit was made or to his or her estate. (Added 2005, No. 16, § 1, eff. July

1, 2005.)