Amendment to my529 Limited Power of Attorney Terms and Conditions

Dear [Insert Account Owner Name],

Thank you for choosing my529 for your education savings.

my529 allows advisors who have been granted Level 2 or Level 3 authorization within our LPOA program to add bank account information and order transactions between the client’s bank and my529 accounts.

Accordingly, we are amending the Terms & Conditions of the Limited Power of Attorney (LPOA) Authorization agreement (Form 710 or online agreement), as well as the One-Time or Recurring Electronic Contributions Authorization/Change Form (Form 200).

The following will be added to Form 710 as well as the online authorization agreement:

  • If I grant Level 2 or Level 3 authorization, I understand that the entity will be able to add appropriate bank account information and initiate transactions as authorized above between my account(s) at my529 and the bank. I authorize the bank to accept any such credit or debit to my account without responsibility for its correctness.

This condition applies to all existing LPOA authorization agreements.

Additionally, we are amending Form 200 to include the following:

  • If I am an authorized user in my529’s Limited Power of Attorney (LPOA) program, and have been granted Level 2 or Level 3 LPOA authorization, I certify that I have been instructed and authorized by my client to add the bank account information contained herein and initiate a debit from that bank account to contribute to my client’s my529 account(s). I agree to indemnify and hold harmless my529 for any losses associated with this transaction.

The chart below details what financial advisors are authorized to do at each level:

Limited power of attorney access levels

The account access granted by an account owner/agent to a financial/tax advisor is limited to the authority described below:

 Authorization Level Obtain Account Information Initiate Transactions Online or with Applicable Form
Contributions Investment Option Changes Transfers Between Accounts  Withdrawals
Level 1 Low
(Informational)
Online/Phone No No No No
Level 2 Medium
(Limited)
Online/Phone Yes Yes Yes No
Level 3 High
(Limited + Withdrawals)
Online/Phone Yes Yes Yes Yes1
1 Withdrawal checks may be made payable only to the account owner, the beneficiary, or an eligible educational institution. my529 will not issue checks to other parties. Account owners can link a bank account to receive electronic deposits from my529 account withdrawals initiated online by financial advisors.

If you don’t agree with these amendments, you may either revoke your LPOA authorization or change it to Level 1 (Informational) at any time. You can do this within your Account Access at my529.org. Or you can submit an Entity Limited Power of Attorney Revocation (Form 720) or Entity Limited Power of Attorney Authorization (Form 710). Both forms are available for download at my529.org.

At my529, we regularly evaluate our policies and procedures in an effort to provide a high level of customer service to our account owners. As is stated in our Program Description and in the Terms and Conditions that you agreed to when opening your account(s), my529 reserves the right to make changes to the program as needed. We will always notify our account owners in writing of those changes.

If you have any questions, please contact your financial advisor or my529 at 800.418.2551 or by email at info@my529.org.

Regards,

my529

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my529 does not provide legal, financial, investment, or tax advice, and the information provided in this document does not contain legal, financial, investment, or tax advice and cannot be construed as such or relied upon for those purposes. You should consult your own tax or legal advisor to determine the effect of federal and state tax laws on your particular situation.

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