PA Title 20 Amended to Increase Threshold  

Currently, 20 Pa.C.S. 3101(b) allows a credit union to disburse funds from a deceased member’s individual accounts to the next of kin when the aggregated date-of-death balance is $10,000 or less. The credit union must also receive a receipted funeral bill or affidavit of a licensed funeral director that payment arrangements have been made.

On November 24, PA Governor Josh Shapiro signed Act 50 (previously House Bill 1176) into law, which amends 20 Pa.C.S. 3101(b) to increase the threshold to $20,000. This change will go into effect in 60 days.

This means that starting January 23, 2026, if a deceased member has an individual account (no joint owners, no beneficiaries) with an aggregated date-of-death balance of $20,000 or less, you can disburse the funds to the next of kin (spouse, child, parent, or sibling, in that order), provided you obtain the required receipted funeral bill or affidavit. You should also obtain a death certificate.

If you have questions, contact our Compliance Team.