Ensure the well-being of your loved ones by setting up a nomination at Capital Credit Union. Amid our hectic lives, it’s easy to forget tasks that can safeguard our family’s financial security. An important step is establishing a nomination for your account with Capital Credit Union. What does this entail, and why is it critical for our members? Let’s explore the details and discover how this simple, impactful tool can provide reassurance and stability for both you and your loved ones.
What Does a Nomination Entail?
A Nomination allows you, as a credit union member aged 16 or older, to specify one or more individuals who will receive the funds from your account after your passing (known as a Nominee). This Nomination serves as an instruction to distribute such property that you may have in your credit union at the time of your death (including savings, deposits, insurance or otherwise) up to the legal maximum allowed under the Credit Union Act 1997 (as amended), which is currently set at €27,000. This distribution can occur without the need to undergo lengthy probate proceedings. Any surplus amount will become part of your estate and will require a Grant of Probate.
It is important to note that the term ‘Nominee’ differs from your spouse, next of kin or any other Trustee you may have given access to your account during your lifetime.
Why Is Making a Nomination Important?
The significance of creating a nomination cannot be emphasised enough. Here are some compelling reasons why it’s advisable (however, it’s not mandatory):
Simple and Fast
The money from your credit union account (currently up to €27,000) can be paid to your chosen nominee(s) upon the production of a valid death certificate and without the need for probate, which can be time-consuming and stressful for your loved ones in a challenging time.
This process may allow your nominee(s) to get quicker access to the funds in your account, which may help with funeral expenses, debt repayment, or living expenses.
Clear and Definite
By making a legally binding Nomination, you can have peace of mind knowing that your instructions regarding your credit union account will be respected. This reduces the chances of disagreements among family members.
Financial Stability for Recipients
A Nominee(s) receives the benefit of the funds in your credit union account relatively quickly, providing aid when they need it most. A valid Nomination may, therefore, impact their ability to manage financially during a period of loss and transition.
Legal Safeguard
Nominations are provided for under the Credit Union Act 1997 (as amended), ensuring that the Credit Union is legally required to distribute the funds in your account as per your instructions, i.e. a valid Nomination form, up to the legal amount permissible at that time (currently up to €27,000).
Flexibility and Control
You have the freedom to modify your Nomination whenever needed, allowing you to adjust to changes, like getting married, having children, or experiencing significant life events.
This flexibility ensures that your Nomination always reflects your preferences at that time in your life. Please note that this must be done by completing a new Nomination form in a credit union branch. Remember, we are here to support you through this process.
Important Points to Keep in Mind
While the advantages of creating a Nomination are evident, there are some crucial points to note:
Changes in Marital Status
It will no longer be valid if you get married after making a Nomination. You should consider making a new Nomination.
However, a Nomination will remain valid if you separate from, or divorce, your spouse. In this situation, you may wish to consider updating your Nomination if your spouse or ex-spouse was initially nominated.
Nominees Death
If your chosen nominee(s) passes away before you do, your Nomination will no longer be valid. You should consider updating your Nomination in this instance.
Witness Requirement
Two individuals must witness the signing of the Nomination form, and a nominee cannot be a witness. This legal requirement ensures the legitimacy of the process and safeguards against any disputes. Credit Union staff can witness the signing of a Nomination form for you.
Creating and Updating Your Nomination
The process of creating or updating a Nomination is simple. You can fill out a nomination form at any Capital Credit Union branch. Our friendly and knowledgeable staff are always there to help with any questions and walk you through the process.
Reviewing your Nomination after significant life events like getting married, having a child, or if your existing nominee passes away is essential. Keeping your Nomination current ensures that your wishes are always reflected accurately upon your death and that your loved ones are cared for.
The credit union must receive the nomination in writing and during your lifetime.
Take Steps Today
At Capital Credit Union, we are dedicated to assisting our members where possible. Making a Nomination is a part of this process. It is an impactful document that may help your loved ones in case of your passing.
We urge you to make a Nomination if you haven’t already done so.
If you have already nominated someone, you may wish to review and confirm that it still aligns with your preferences.
Our team is ready to assist you with any inquiries or worries.
Closing Thoughts
Choosing to nominate someone is an expression of care and planning ahead. It involves looking out for those who are essential to you and ensuring that your financial heritage is managed in line with your instructions. Here at Capital Credit Union, we simplify the process, offering you the reassurance of knowing that your loved ones may receive support when they need it most.
Get in touch with us today. Please explore our website for information on creating or revising your Nomination. Safeguard your family’s future with the assistance of Capital Credit Union.
