I have a daughter from a previous marriage, if I die, who takes control of her college fund? (account, savings)

[jimmybirdie]

I am planning to start a college fund for my daughter from a previous marriage. In the event that I die before she uses it, who has control of this fund? Can I specify my sister as the backup person and not my wife or my ex?

[Sydney123]

You can designate whomever you want.

[ticking]

Originally Posted by jimmybirdie

I am planning to start a college fund for my daughter from a previous marriage. In the event that I die before she uses it, who has control of this fund? Can I specify my sister as the backup person and not my wife or my ex?

I had the same situation, I designated my sister instead of the 2nd wife.

[rjm1cc]

I assume the fund lets you name someone to take over if you die. If it does not be sure to put it in you will. If you do not have a will it will be divided among your heirs according to your state law. Not what you want.

[Quietude]

Originally Posted by rjm1cc

I assume the fund lets you name someone to take over if you die. If it does not be sure to put it in you will.

Just went through this (with a divorce and some large 529s). My professional advice was to establish the guardianship/trust details as well as you can with the financial services provider, as that will assure continuity and more stable control. Leaving it to a will could tie it up in probate or challenges. (Note that it's hard to get a professional trust department to handle such things unless they are into the $Ms, so you need a few reliable family members or friends to designate.)

If you do not have a will it will be divided among your heirs according to your state law. Not what you want.

I am not sure that's true if it's a formally established ed account like a 529. If it's just a regular savings or investment account not designated for the benefit of the student, it could get tangled up, though.