2025 Session
Last amended: 1985 session
§ 527.24 — Transfer by Gift or Exercise of Power of Appointment
Plain-Language Summary
A person can make a gift of property to a custodian for the benefit of a minor. This transfer is permanent and cannot be taken back once completed.
527.24 TRANSFER BY GIFT OR EXERCISE OF POWER OF APPOINTMENT.
A person may make a transfer by irrevocable gift to, or the irrevocable exercise of a power of appointment in favor of, a custodian for the benefit of a minor pursuant to section 527.29.
History:
History: History:
1985 c 221 s 4
Practical Notes
This is the most common way custodial property is created, such as when a grandparent opens a custodial investment account for a grandchild. Once the gift is made, it belongs to the minor and the transferor cannot reclaim it. The transfer must follow the procedures in section 527.29.