How to add a beneficiary to your Frec account

What does it mean to add a beneficiary to my Frec account?

A beneficiary is someone (or a trust) that you want to receive the cash and stock in your account upon your death or the death of the last surviving owner of a joint account. You can add multiple beneficiaries, including primary and contingent beneficiaries. However, if you reside in Louisiana, you’re not able to add a beneficiary to your account. You may want to consider consulting an attorney, tax professional, or estate planner familiar with your particular situation.

What’s the difference between a primary and contingent beneficiary?

A primary beneficiary is an individual that will receive top priority in line for those who will receive the cash and stock upon the accountholder(s) death(s). You’re able to add multiple primary beneficiaries. You’ll assign a percentage of your assets to each primary beneficiary. You will be required to use whole percentages and the total amount shared between the primary beneficiaries must equal 100%. 

A contingent beneficiary is an individual who will receive secondary priority in line. They will only receive the cash and stock in an account if none of the primary beneficiaries are alive at the time of the accountholder(s) death(s). You can add multiple contingent beneficiaries. You’ll assign a percentage of your assets to each continent beneficiary. You will be required to use whole share percentages and the total amount shared between contingent beneficiaries must equal 100%. 

You are limited to a maximum of 6 (six) each for primary and contingent beneficiaries.

How can I set up a beneficiary on my individual or joint Frec account?

If you have an individual or joint Frec account, you can add a beneficiary within your account settings at any time.

You can access your account settings by clicking your name in the upper right-hand corner of the Overview page. From the dropdown menu, select “Account settings” then scroll down to the “Beneficiaries” box and select “+Add.” From there, you’ll be able to add primary and contingent beneficiaries. You will first be required to add a primary beneficiary before you're able to add any contingent beneficiaries.

For joint accounts, you will need to inform your account co-owner of the beneficiaries you are designating and attest that your co-owner voluntarily and irrevocably consents to the designation and payment upon your deaths.

If you live in a Community/Marital Property state and you have a spouse, you will need to inform them of the beneficiaries you are designating and attest that your spouse voluntarily and irrevocably consents to the designation and payment as directed. 

Known Community/Marital Property states are: Arizona, California, Idaho, Nevada, New Mexico, Texas, Washington, Wisconsin.

Can I add a trust as a beneficiary?

Yes, Frec supports adding trusts as primary or contingent beneficiaries. Select "Trust" under the "This is a" Field. Be sure to include the trust's date of creation and tax ID.