Parents misusing money in my college fund--SERIOUSLY NEED HELP!

[renegade7]

There is an account of money that was set aside for me at birth by my grandparents (Yea, I'm a trust fund brat, laugh it up) specifically for me to go to college.

Without going too far into the details, I am legally the account holder (so the money is actually mine), and legally the money is to be used for nothing other than to pay for my tuition with any leftover funds remaining mine.

However, I agreed to let my parents control the account on my dad's insistence that there was a "way to make it a bit cheaper". He is an MBA and my stepmom is a CPA, and they fed me this whole heap of jargon about how they could do something to supposedly help me save money in it.

But since then it's been one thing after another. First they want control of the account...then they want to be able to withdraw any money they want to from it...now they're telling me that when I graduate they get to keep the funds left over. Also, I won a very large scholarship recently and when I asked them to move the money out of the college fund account into my savings I got "Well it's our money, why should we? Congratulations though." Then they hung up. Then a few weeks later I noticed a sizable sum of money had been withdrawn from it, when I call them they tell me the same thing, that it's "Their money". I tried calling the bank but there's nothing I can do: they control the account now.

First of all, I want to clarify: it is not their money to do whatever with, it is my money that my grandparents gave me (like specifically to me, not to my parents to pay for my expenses) to go to college. It is paying for tuition, but there have been a number of withdrawals from it that had nothing to do with college expenses. I don't know what they're doing with it, and they refuse to tell me.

I really need help...should I talk to someone at the bank again, try explaining things? Should I try to seek legal help?

 

[Amethyst Wind]

There is an account of money that was set aside for me at birth by my grandparents (Yea, I'm a trust fund brat, laugh it up) specifically for me to go to college.

Without going too far into the details, I am legally the account holder (so the money is actually mine), and legally the money is to be used for nothing other than to pay for my tuition with any leftover funds remaining mine.

However, I agreed to let my parents control the account on my dad's insistence that there was a "way to make it a bit cheaper". He is an MBA and my stepmom is a CPA, and they fed me this whole heap of jargon about how they could do something to supposedly help me save money in it.

But since then it's been one thing after another. First they want control of the account...then they want to be able to withdraw any money they want to from it...now they're telling me that when I graduate they get to keep the funds left over. Also, I won a very large scholarship recently and when I asked them to move the money out of the college fund account into my savings I got "Well it's our money, why should we? Congratulations though." Then they hung up. Then a few weeks later I noticed a sizable sum of money had been withdrawn from it, when I call them they tell me the same thing, that it's "Their money". I tried calling the bank but there's nothing I can do: they control the account now.

First of all, I want to clarify: it is not their money to do whatever with, it is my money that my grandparents gave me (like specifically to me, not to my parents to pay for my expenses) to go to college. It is paying for tuition, but there have been a number of withdrawals from it that had nothing to do with college expenses. I don't know what they're doing with it, and they refuse to tell me.

I really need help...should I talk to someone at the bank again, try explaining things? Should I try to seek legal help?

Naturally. Are your grandparents still alive? They might be able to help if they are.

This is, as you say, your money. Not your parents. Fuck them. You shouldn't have transferred control of the account but you shouldn't accept them stealing from you either.

 

[Krustosaurus]

That is awful. I really don't know how some parents can treat their children like this. I think your best bet is to call your grandparents and then you can talk it over with a lawyer together, although I don't really know how much legal standing you have since you voluntarily signed over control to your parents. Although, I know very little about the law

 

[ohnoitsabear]

Like other people said, talk to your grandparents about it. Depending on you're grandparents' relationship with your parents, they might be able to convince your parents whose money it really is. Actually, any third party you can get on your side could help considerably.

Is it possible to get control of the account back from them? I'll admit, I don't know too much about this kind of stuff, but I think it's worth looking into what you can do. If your only option here is to take legal action (which I'm not even sure you're able to do), then at the very least that's something you can threaten them with, if it comes to that (which hopefully, it won't). I'm not advocating suing your parents, but the more you know about your options, the better off you're going to be.

Ultimately, you're going to have to confront your parents, whether or not your grandparents are involved. At the very least, you should get them to tell you what they're spending the money on, and convince them that it isn't really they're money to do whatever with. I highly recommend doing this in person, if possible, because they can't hang up on you, but you might be able to do this over the phone if you're persistent enough. Of course, how effective this will be depends on what kind of relationship you have with your parents and how much of a conscience they have.

Other than that, all I have to say is that this sucks big time.

 

[renegade7]

snip

Naturally. Are your grandparents still alive? They might be able to help if they are.

This is, as you say, your money. Not your parents. Fuck them. You shouldn't have transferred control of the account but you shouldn't accept them stealing from you either.

No, my grandparents have been dead for years. And I now know I shouldn't have transferred control of the account and I was a little skeptical at the time, but my parents are very financially stable and I did not see any reason for foul business.

I don't believe that the account transfer was necessarily legal or official, in that all I did was tell my dad that if there was some financial move to make it all easier then he should go for it. From this I gather he already had some control over it, despite that the terms as I understood them said he shouldn't have.

I'm definitely going to be having a word with them over spring break though, thanks.

As for what others have said, after having done some research I have found that there is a way to get control of a "hijacked" account back through legal methods. I didn't sign a legal contract saying they could use the money, therefore I actually have a case for fraud...I mean I really don't want it to come to a lawsuit, but apparently I do have grounds for one.

 

[lechat]

sounds like a job for a solicitor and things will change depending on your country's laws

the important question will be "what age were you when you handed over control" if you were over the age of 18 it may count as a verbal agreement although under 18 you would need consent from a parent or guardian but i think the most important fact here was that you gave permission to manage your funds not to use them so pretty sure the law will be on your side

 

[BrassButtons]

No, my grandparents have been dead for years.

Was the money given to you as part of an inheritance? If so there may be legal stipulations on how it can be spent.

I don't believe that the account transfer was necessarily legal or official, in that all I did was tell my dad that if there was some financial move to make it all easier then he should go for it. From this I gather he already had some control over it, despite that the terms as I understood them said he shouldn't have.

The first thing you need to do is find out exactly where you stand legally. The bank that has the account should be able to give you this information. If the account was set up in your name, and you never signed any paperwork giving it to your parents, then the money is probably legally yours, and the bank should not be allowing them access to the money at all.

As for what others have said, after having done some research I have found that there is a way to get control of a "hijacked" account back through legal methods. I didn't sign a legal contract saying they could use the money, therefore I actually have a case for fraud...I mean I really don't want it to come to a lawsuit, but apparently I do have grounds for one.

From the sound of things your parents are committing not only fraud, but grand larceny as well.

 

[Eleuthera]

You say you gave your parents control of the account, is it still in your name? If it is it should be possible for you to talk to your bank and retract their access(Assuming you are an adult), this wont get you back any of the money they took though.

If you want to get it all back I don't really see any other option than getting a lawyer involved.

 

[Angie7F]

that sucks...
I think you should talk to them first and give them a chance to explain themselves.
However if they dont tall you what they have been up to, then you should seek proper third party help.