Trump Accounts launched on July 4, with BNY Mellon serving as U.S. Department of Treasury’s exclusive master custodian. Under H.R. 1, credit unions may serve as future rollover trustees once Treasury issues transfer guidance.

Trump accounts are tax-deferred accounts that can be established on behalf of a child under the age of 18 and allow annual contributions of up to $5,000. A pilot program will provide a one-time $1,000 grant for children born between Jan. 1, 2025 and Dec. 31, 2028. Once the child turns 18, the account funds are available for educational expenses, home ownership, entrepreneurship, and other designated purposes.

Because Trump Accounts must invest in low-fee equity index funds, federal credit unions would need to partner with a CUSO or third-party investment provider to manage the assets.

America’s Credit Unions has updated its Compliance Library FAQs along with additional information on account definitions, restrictions, and tax information.