Question of the Week

Question: When a minor reaches 21, can they request funds in a Uniform Transfer to Minors Account be paid directly to them?

Answer: That’s dependent on state law. In Arkansas and Texas, turnover of funds is the responsibility of the custodian. This may require the former minor to take legal action to recover funds that rightfully belong to them. 

Oklahoma law provides an alternative remedy under 58 O.S. 1221:

“…if the minor reaches the age for release and the custodian does not make a timely transfer of the property to the minor, the minor may make a request for the account-holding financial institution to intervene. The request from the minor shall be signed, dated and in writing, and shall state that the minor has reached the age for release and the custodian has refused to distribute the remaining funds to the minor after being asked to do so by the minor after the minor was entitled to them. Upon receiving the minor's request, the financial institution may send a written demand to the custodian to transfer to the minor the funds in any Oklahoma Uniform Transfers to Minors Act deposit account. If the custodian does not make the distribution within thirty (30) days from the date of the financial institution's demand, the financial institution shall have the authority to close the account and pay out the funds directly to the minor without any liability or recourse from any parties.”