B Constructively Received Examples

1)    Retained Ownership of a Bank Account for another person Example

 The customer opened a bank account for his nephew and funded it with $5,000.  Even though he put the account in the nephew’s name, he still has full control of the account.  The resource remains countable to the customer.

2)    Uncashed Check Example

A check received by an individual as payment but which is not yet cashed, even six months or more after receipt, is considered constructively received and included in the resource calculation.

3)    Irrevocable Assignment Example

Mr. B irrevocably assigns a $10,000 Certificate of Deposit to his grandchildren. Since the assignment is irrevocable and the CD is no longer available to Mr. B, the $10,000 assignment is not considered constructively received, but is evaluated as a transfer.

4)    Transferred Asset Example

Mr. C assigns a $5,000 savings account to his brother, and the account is now solely in the brother's name. The account cannot be made available solely due to the customer's action. As a result, the savings account cannot be treated as constructively received but instead is evaluated as a transfer.

5)    Refusal of an Inheritance Example

Mr. D refuses an inheritance that reverts to another individual named in the will and is no longer available.  The resource is no longer considered constructively received, but is evaluated as a transfer.

6)    Advance Payment Considered a Constructively Received Resource Example

The customer entered a NF on April 15th and applied for ALTCS on April 18^th.  On April 29^th he paid the NF $5,000. On April 25^th the NF had billed the customer for 16 days in April totaling $2,990 and that payment was due no later than May 5^th.

For April, $2,990 is considered payment of a current bill, but the balance of the payment ($2,010) is an advance payment and is considered a constructively received resource.