Question

Mr. Jones, a New York resident, is a widower with a 6 year old son. He opens an account for the son under the Uniform Gifts to Minors Act. Three years later, Mr. Jones remarries, and moves to California, a community property state. Under what conditions can Mrs. Jones enter orders into the UGMA account?

Answer 1

The correct answer is : Mrs. Jones can not enter orders into the account under any circumstances.

Step-by-step explanation:

The custodial accounts permit adults to make a financial gift to a minor. What is important in this case is that the money is the legal property of the minor. The withdrawals from the account or another type of action can only be made for the child's benefit. It is used to protect assets for minors until they reach the age of majority.