Apparently, when I was a child (I'm mid 30s now), my aunt opened some sort of a Vanguard investment account for me (all I can see is VANGUARD 500 INDEX FUND 40).
My aunt was the custodian, I was the beneficiary on the account.
Recently, either because I opened an unclaimed funds claim with my state or the state contacted my aunt on their own, not sure which, I've received a check for the unclaimed funds.
My aunt is saying it doesn't make sense because she closed the account years ago and doesn't know what this money is from or why it's been sitting there.
She's also saying she wants me to send her the money.
I don't know much about these things, so curious about a few things:
1. Since I was the beneficiary on the account, from what I've read, even though she was the custodian, she would not be able to have changed the beneficiary right?
2. What happens if a custodian does close an account like this?
3. Would I or my aunt be responsible for any taxes associated with the unclaimed funds?
4. Any thoughts on what likely happened here? I'm assuming she thinks she closed the account but since it was a custodial account and I was the beneficiary, she didn't actually close it in the traditional sense because that's not allowed (?), and after Vanguard deemed it dormant after she thought she closed it, it went through escheatment?
Anything else I should know?
My aunt was the custodian, I was the beneficiary on the account.
Recently, either because I opened an unclaimed funds claim with my state or the state contacted my aunt on their own, not sure which, I've received a check for the unclaimed funds.
My aunt is saying it doesn't make sense because she closed the account years ago and doesn't know what this money is from or why it's been sitting there.
She's also saying she wants me to send her the money.
I don't know much about these things, so curious about a few things:
1. Since I was the beneficiary on the account, from what I've read, even though she was the custodian, she would not be able to have changed the beneficiary right?
2. What happens if a custodian does close an account like this?
3. Would I or my aunt be responsible for any taxes associated with the unclaimed funds?
4. Any thoughts on what likely happened here? I'm assuming she thinks she closed the account but since it was a custodial account and I was the beneficiary, she didn't actually close it in the traditional sense because that's not allowed (?), and after Vanguard deemed it dormant after she thought she closed it, it went through escheatment?
Anything else I should know?
Statistics: Posted by LCM9001 — Tue Aug 06, 2024 7:16 pm — Replies 5 — Views 654