People establishing new estate plans or updating their wills in the Las Vegas area typically want to include clear instructions for the distribution of their most valuable assets. Real estate, financial accounts, business holdings, vehicles and other high-value resources are often the primary concerns for those outlining the descent of their property when they pass.
Testators sometimes overlook intangible assets that could be worth hundreds or even thousands of dollars, such as their accumulated points or credits in a rewards program. Rewards programs offered by credit card companies, hotels, airlines and other businesses offer discounts, financial incentives and even gifts for those who use the company’s services frequently or make regular purchases.
Is it possible for Las Vegas testators to include rewards programs in their estate plans?
Some rewards may be transferable
Testators generally have total control over the terms they set in their wills. They can choose what assets they want to specifically bequeath to their beneficiaries. However, their instructions must comply with the law, as well as with any contracts they signed while alive.
Addressing rewards points or credits can be important for the prevention of conflict among beneficiaries. It also helps ensure that grieving people don’t overlook resources that could be worth a substantial amount of money.
Typically, the program rules for a rewards program dictate whether or not it is possible to transfer them to beneficiaries as part of an estate plan. Airline miles and similar rewards programs are among the most difficult to transfer.
Many airlines, including Southwest and American Airlines, either prohibit or severely restrict the transfer of accrued points or rewards to outside parties, even after the death of a rewards member. Testators may need to review the program documents on a case-by-case basis to determine what they can include and what they cannot transfer to others. Hotel points, credit card rewards and other rewards may be transferable, especially if the recipient is an authorized user of the same account.
Rewards programs can offer either monetary value or perks, such as free hotel rooms or plane tickets, that beneficiaries may appreciate after the loss of a loved one. Working with an estate planning attorney to identify intangible assets that deserve inclusion in an estate plan can help people avoid common oversights like this one.