410.585—Conservation and investment of payments.
Payments certified to a relative or other person on behalf of a beneficiary which are not needed for the current maintenance of the beneficiary except as they may be used pursuant to § 410.587, shall be conserved or invested on the beneficiary's behalf. Preferred investments are U.S. Savings Bonds, but such funds may also be invested in accordance with the rules applicable to investment of trust estates by trustees. For example, surplus funds may be deposited in an interest- or dividend-bearing account in a bank or trust company, in a savings and loan association, or in a credit union, if the account is either federally insured or is otherwise insured in accordance with State law requirements. Surplus funds deposited in an interest- or dividend-bearing account in a bank or trust company, in a savings and loan association, or in a credit union, must be in a form of account which clearly shows that the representative payee has only a fiduciary, and not a personal, interest in the funds. The preferred forms of such accounts are as follows:
____________ (Name of beneficiary) by ____________, (Name of representative payee) representative payee; or ____________ (Name of beneficiary) by ____________, (Name of representative payee) trustee.
U.S. Savings Bonds purchased with surplus funds by a representative payee for a minor should be registered as follows:
____________ (Name of beneficiary) __________ (Social Security No.), a minor, for whom __________ (Name of payee) is representative payee for black lung benefits.
U.S. Savings Bonds purchased with surplus funds by a representative payee for an incapacitated adult beneficiary should be registered as follows:
____________, (Name of beneficiary) __________ (Social Security No.), for whom _________ (Name of payee) is representative payee for black lung benefits.