Yes, most banks let you add beneficiaries online, but the process and what you can do varies by bank and account type
You can add a beneficiary to most checking and savings accounts through your bank's website or mobile app. A beneficiary is a person or organization you name to receive the money in your account if you die. The bank holds this designation on file and transfers the funds outside of probate — meaning your beneficiary gets the money faster and without court involvement.
The online process usually takes 10 to 15 minutes. You log in, find the beneficiary or transfer-on-death section, enter the person's full legal name and Social Security number or tax ID, choose what percentage of the account they receive, and confirm. Some banks let you name multiple beneficiaries and split the account balance among them — for example, 50% to your spouse and 25% each to two children.
Not every account type supports online beneficiary designation. Money market accounts, CDs, and IRAs almost always do. Some banks restrict it on joint accounts or accounts with certain features. A few smaller banks or credit unions still require you to visit a branch or mail in a form, though this is becoming rare.
Key Takeaways
- Most banks allow you to name a beneficiary online through their website or app by entering the person's name, Social Security number, and the percentage of the account they inherit.
- A beneficiary designation bypasses probate, meaning money reaches your named person faster than it would through a will.
- You can name multiple beneficiaries and split the account balance among them in any percentage you choose.
- Some account types — joint accounts, certain promotional accounts, or accounts at smaller institutions — may not support online beneficiary designation and require a visit or form in the mail.
Where to find the beneficiary option in your bank's app or website
Log into your account and look for a section labeled "Beneficiaries," "Transfer on Death," "Payable on Death," or "Account Settings." The exact name varies by bank. Most banks put this under Account Management, Account Details, or Settings.
If you cannot find it, search the bank's website for "add beneficiary" or "name a beneficiary." If the search returns nothing, or if you see a message saying the feature is not available for your account type, call the bank's customer service line. They can tell you whether your specific account supports it and, if not, what your options are — usually a form you can complete by phone or mail.
Chase, Bank of America, Wells Fargo, Citibank, and most other large national banks offer online beneficiary designation on standard checking and savings accounts. Credit unions and smaller regional banks vary; some have the feature, others do not.
What information you need to provide for each beneficiary
The bank will ask for the beneficiary's full legal name (the name on their Social Security card or government ID), their Social Security number or tax ID, and their relationship to you (spouse, child, parent, other). Some banks also ask for a phone number or email address, though this is optional.
You do not need the beneficiary's permission to name them, and they do not need to sign anything. The bank records the designation in their system. You should tell your beneficiary that you have named them, so they know to contact the bank after you die.
If you want to name an organization — a charity, school, or religious institution — instead of a person, provide the organization's legal name and tax ID (EIN). The process is the same.
How to split the account among multiple beneficiaries
When you add a second or third beneficiary, the bank asks you to assign a percentage to each. The percentages must add up to 100%. For example: 50% to your spouse, 25% to your daughter, 25% to your son. When you die, the bank divides the account balance according to those percentages and sends each person their share.
If you do not specify percentages, most banks default to equal shares. If you name three beneficiaries and do not assign percentages, each gets one-third. Check what your bank's default is before you confirm.
You can change the percentages at any time by logging back in and editing the beneficiary list. The new percentages take effect immediately.
Account types that do not support online beneficiary designation
Joint accounts — accounts you share with another person — usually cannot have a separate beneficiary designation. When a joint account holder dies, the surviving joint owner automatically owns the full balance. A beneficiary designation would conflict with that rule, so banks do not allow it.
Some banks restrict beneficiary designation on accounts tied to promotional offers, such as a checking account that comes with a cash bonus. Once the promotion ends, you may be able to add a beneficiary. Ask your bank whether your account qualifies.
Certain types of business accounts, trust accounts, or accounts held in a fiduciary capacity may not support beneficiary designation. If you are unsure whether your account type qualifies, call the bank and ask. They can tell you in one call.
What happens to the money when you die
After you die, your beneficiary contacts the bank and provides a death certificate. The bank verifies the certificate, confirms the beneficiary designation on file, and transfers the account balance to the beneficiary's account or issues a check. This usually takes one to three weeks, depending on the bank's process and how quickly the beneficiary submits the death certificate.
The money does not go through probate, which means it is not part of your estate and does not have to wait for a will to be read or a court to approve the transfer. This is one of the main reasons people use beneficiary designations — the money reaches the person faster.
If you die without naming a beneficiary, the bank treats the account as part of your estate. The money goes through probate and is distributed according to your will or, if you have no will, according to your state's inheritance laws. This process can take several months or longer.
How to change or remove a beneficiary
Log back into your account, go to the beneficiary section, and click Edit or Update. You can change the beneficiary's name, the percentage they receive, or remove them entirely. The change takes effect immediately. You do not need to notify the bank separately or provide any additional paperwork.
If you want to remove all beneficiaries, you can do that too. Once you remove them, the account has no beneficiary designation, and the money will go through probate if you die.
Life changes — divorce, remarriage, estrangement, or a change in your wishes — often prompt beneficiary updates. Review your beneficiary designations every few years or whenever your family situation changes, and update them if needed.
Frequently Asked Questions
Can I name someone who is not a U.S. citizen as a beneficiary?
Yes. The bank needs their full legal name and tax ID (Social Security number if they have one, or an Individual Taxpayer Identification Number if they do not). Some banks may ask for additional information, such as a passport number or address outside the U.S., but most allow non-citizens as beneficiaries.
What if I name a beneficiary and then get married or divorced?
The beneficiary designation does not change automatically. You must log in and update it yourself. If you divorce and do not remove your ex-spouse as a beneficiary, they will still receive the money when you die — the designation overrides your will. Update your beneficiaries as soon as your marital status changes.
Can I name a minor as a beneficiary?
Yes, but the bank will not release the money directly to a child. When you die, the money goes into a guardianship or custodial account until the child reaches the age of majority (usually 18 or 21, depending on your state). You can name a guardian in your will to manage the money until then, or the court will appoint one.
Does naming a beneficiary affect my taxes or the beneficiary's taxes?
No. The beneficiary does not pay income tax on the money they inherit from a bank account. The account balance is not subject to federal income tax when it transfers. Some states have inheritance taxes, but most do not, and those that do often exempt close relatives like spouses and children.
What if my bank does not offer online beneficiary designation?
Call customer service and ask whether they offer beneficiary designation at all. If they do, they can mail you a form to complete and return. If they do not, you can set up a payable-on-death account at another bank that does, or use a will or trust to direct where the money goes when you die.