Importance of Updating
Often when we think
of IRAs, we also think of security and financial stability during our retirement
years. However, as people put more money aside for retirement, we see that members do not
always use all of their IRA money before death.
When members die, their beneficiary
designations become very important. These designations direct who will receive the death
benefits. It is imperative that IRA owners keep their beneficiary designation forms
updated to insure that the IRA funds are paid out in a timely manner following their
It is your responsibility as a member to keep
the beneficiary designations current. However, with the busy lives we lead, this is not
always at the top of our "to do" list. Therefore, it is good member service to
remind our IRA Owners how important it is to update their IRA beneficiary designation
In addition, another reminder is to change
your beneficiary form upon CHANGE IN MARITAL STATUS. Failure to change your beneficiary
form upon marriage or divorce could result in a former spouse being listed as beneficiary.
And upon the death of you, the IRA owner, this could lead to the designation of benefits
being contested in court, which could have been avoided with a change in beneficiary.
If you have any questions or need to make
changes in beneficiaries, please contact one of our Member Service Representatives at