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My sons grandfather opened an account with Smith Barney that

 
 
 

Customer Question

My son's grandfather opened an account with Smith Barney that was supposed to be for my son. My husband and I have paid the taxes on it. My son turned 18 last April. Smith Barney is not even answering the letters written about the account. Got one phone call from them that said they had to contact the grandfather and can't. The grandfather's attitude to my son is at this point negative to say the least about the most. The account says:
name of grandfather ACF
name of my son U/VA/UTMA
Is this account my son's now or not? Is there something we can do or not?

Submitted: 1007 days and 7 hours ago.
Category: Legal
Status: CLOSED
 
 
 
 
 
 

Optional Information

State/Country relating to Question: Virginia

Already Tried:
We wrote to the Smith Barney Office that shows on the account information we have. We have written 3 letters, and have received no written reponses. We have received 2 phone calls. My son was not home for either one. I spoke to the man. He said in each that they had to contact Ed and hadn't been able to do so. In the last phone call the man said that the account was not my son's until the grandfather signs something. If that is the case, there's no point in our pursuing this because the grandfather is now both elderly and unhappy with my son. If that is not the case, then it is worth pursuing. My son could use the money for school. I guess if there's nothing we can do about it then we need to know whether my son has to keep on paying income tax on it. How could that be if it's not his? Why did my husband and I have to pay income tax on it for my son if it's not my son's?

 
 
 
 
 
 
Posted by PhillipsEsq 1007 days and 6 hours ago.

Response From Expert

What state are you in?

 
 
 
 
 
 
1007 days and 6 hours ago.

Customer Reply

I am in the state of Virginia.

 
 
 
 
 
 

Accepted Answer

Ok. Thanks

 

The account is now your son's. Custodial accounts are an irrevocable gift to a minor. The custodian controls the account until the minor reaches the age of termination which in Virginia is at age 18. So, it does not really matter how the grandfather now feels about him. These types of custodial accounts are governed in Virginia by Uniform Transfers to Minors Act. Cite the UTMA when you speaking with the people at Smith Barney.

 

AttorneyPhillips40045.7872919329

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Expert: PhillipsEsq
Pos. Feedback: 100.0 %
Accepts: 1826
Answered: 8/20/2009

Attorney-at-Law

Licensed in Massachusetts and New York

 
 
 

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