[Code of Federal Regulations]
[Title 31, Volume 2]
[Revised as of July 1, 2002]
From the U.S. Government Printing Office via GPO Access
[CITE: 31CFR346.9]

[Page 287-288]
 
                  TITLE 31--MONEY AND FINANCE: TREASURY
 
         CHAPTER II--FISCAL SERVICE, DEPARTMENT OF THE TREASURY
 
PART 346--REGULATIONS GOVERNING UNITED STATES INDIVIDUAL RETIREMENT BONDS--Table of Contents
 
Sec. 346.9  Payment or redemption after death of owner.

    (a) Order of precedence where owner not survived by beneficiary. If 
the registered owner of an Individual Retirement Bond dies before it has 
been presented and surrendered for payment, and there is no beneficiary 
shown thereon, or if the designated beneficiary predeceased the owner, 
the bond

[[Page 288]]

shall be paid in the following order of precedence:
    (1) To the duly appointed executor or administrator of the estate of 
the owner, who should sign the request for payment on the back of the 
bond in his representative capacity before an authorized certifying 
officer, such request to be supported by a court certificate or a 
certified copy of his letters of appointment, under seal of the court, 
which should show that the appointment is in full force and effect, and 
be dated within six months of its presentation;
    (2) If no legal representative of the deceased registered owner's 
estate has been or will be appointed, to the widow or widower of the 
owner;
    (3) If none of the above, to the child or children of the owner and 
the descendants of deceased children by representation;
    (4) If none of the above, to the parents of the owner, or the 
survivor of them;
    (5) If none of the above, to other next-of-kin of the owner, as 
determined by the laws of the domicile of such owner at the time of his 
death.

In any case coming under the provisions of this paragraph, a duly 
certified copy of the registered owner's death certificate will 
ordinarily be required. Proof of death of the beneficiary, if any, will 
be required where he predeceased the owner. Payment of bonds under 
paragraph (a)(1) of this section will be made by a Federal Reserve Bank 
or by the Bureau of the Public Debt, Securities Transactions Branch, 
Washington, DC 20226. Payment of bonds under paragraphs (a) (2) through 
(5) of this section will be made upon receipt of applications on Form PD 
3565-1, together with the bonds and supporting evidence, by the Bureau 
of the Public Debt, Division Transactions and Rulings, Parkersburg, WV 
26101.
    (b) Order of precedence where beneficiary survived owner. If the 
registered owner of an Individual Retirement Bond dies before it has 
been presented and surrendered for payment, and the beneficiary shown 
thereon survived the owner, the bond shall be paid in the following 
order of precedence:
    (1) To the designated beneficiary upon his presentation and 
surrender of the bond with the request for payment signed and duly 
certified;
    (2) If the designated beneficiary survived the registered owner but 
failed to present the bond for payment during his own lifetime, payment 
will be made in the order of precedence specified in paragraphs (a) (1) 
through (5) of this section to the legal representative, surviving 
spouse, children, parents, or next-of-kin of such beneficiary, and in 
the manner provided therein.

In any case coming under the provisions of this subsection, a duly 
certified copy of the registered owner's death certificate will 
ordinarily be required. Proof of death of the beneficiary will also be 
required where he survived the owner but failed to present the bond for 
payment during his own lifetime. Payment of a bond to a designated 
beneficiary will be made by a Federal Reserve Bank or by the Bureau of 
the Public Debt, Securities Transactions Branch, Washington, DC 20226.
    (c) Ownership of redemption proceeds. The orders of precedence set 
forth in paragraphs (a) and (b) of this section, except in cases where 
redemption is made for the account of a registered owner, are for the 
Department's convenience in discharging its obligation on an Individual 
Retirement Bond. The discharge of the obligation in accordance therewith 
shall be final so far as the Department is concerned, but those 
provisions do not otherwise purport to determine ownership of the 
redemption proceeds of a bond.

(26 U.S.C. 220 and 31 U.S.C. 757)

[40 FR 4240, Jan. 28, 1975, as amended at 42 FR 37520, July 21, 1977]