You can decide to CHANGE your ownership to someone else without a fee at any time.
Importantly, an owner (such as a grandparent) may transfer ownership while living or at death without penalty to avoid having to administer or have liability for the account.
Jean has a $10,000 account for her 19 year-old granddaughter. Jean feels old and doesn’t want the responsibility of withdrawing or transferring funds as they are used or of keeping receipts for any potential later audit. Jean can transfer ownership to her son (the student’s parent) or even directly to her granddaughter student–presuming she feels the granddaughter can be responsible at that age for the accounting of that much money.
No statement or example on this site should be considered a specific recommendation for your personal situation. Investing and tax strategies each carry significant risks. Examples herein may not apply to your situation. Please consult your estate attorney, tax advisor, or financial advisor for personal advice.