Can assets from an UGMA/UTMA account be transferred to CollegeAmerica?
Yes, but there are significant legal and tax considerations. The custodian of a Uniform Gifts to Minors Act (UGMA) or Uniform Transfers to Minors Act (UTMA) account may be required to sell the assets in the UGMA/UTMA account a taxable event. When the custodian invests the cash proceeds of the UGMA/UTMA account in a CollegeAmerica Account, the beneficiary of the UGMA/UTMA account must also be the beneficiary of the CollegeAmerica Account and cannot be changed. Moreover, upon receipt of notification that the beneficiary has reached the age of majority (18 or 21 in most states), the beneficiary may assume control over the Account. Your financial adviser s firm may restrict transfers from UGMA/UTMA accounts. We urge you to consult your financial adviser before making a transfer from an UGMA/UTMA account to CollegeAmerica.
Yes, but there are significant legal and tax considerations. The custodian of a Uniform Gifts to Minors Act (UGMA) or Uniform Transfers to Minors Act (UTMA) account may be required to sell the assets in the UGMA/UTMA account a taxable event. Generally, when the custodian invests the cash proceeds of the UGMA/UTMA account in a CollegeAmerica Account, the beneficiary of the UGMA/UTMA account must also be the beneficiary of the CollegeAmerica Account and cannot be changed. Account owners wishing to change beneficiaries should seek legal advice as funds held in UGMA/UTMA accounts represent an irrevocable gift to a specific individual. Moreover, upon receipt of notification that the beneficiary has reached the age of majority (18 or 21 in most states), the beneficiary may assume control over the Account. Your financial adviser s firm may restrict transfers from UGMA/UTMA accounts. We urge you to consult your financial adviser before making a transfer from an UGMA/UTMA account to CollegeAmer
Yes, but there are significant legal and tax considerations. The custodian of a Uniform Gifts to Minors Act (UGMA) or Uniform Transfers to Minors Act (UTMA) account may be required to sell the assets in the UGMA/UTMA account — a taxable event. Generally, when the custodian invests the cash proceeds of the UGMA/UTMA account in a CollegeAmerica Account, the beneficiary of the UGMA/UTMA account must also be the beneficiary of the CollegeAmerica Account and cannot be changed. Account owners wishing to change beneficiaries should seek legal advice as funds held in UGMA/UTMA accounts represent an irrevocable gift to a specific individual. Moreover, upon receipt of notification that the beneficiary has reached the age of majority (18 or 21 in most states), the beneficiary may assume control over the Account. Your financial adviser’s firm may restrict transfers from UGMA/UTMA accounts. We urge you to consult your financial adviser before making a transfer from an UGMA/UTMA account to CollegeAm
