Death and Loyalty Reward Programs - Do Your Points Die With You?
Many of us collect loyal reward points such as Air Miles, Aeroplan points or Shopper's Drug Optimum points. In many cases, the number of points or miles can be and, if lost, would represent a loss of substantial value. What happens to those points, if you die.
Each loyalty program is governed by its own policy so the company that gives the points dictates what will happen after the points' holder's death. In some cases, as with Shopper's Drug Mart the points are forfeited after death. Other companies such as Aeroplan will allow a transfer of points to another member. It qualifies that this transfer is in its sole discretion (meaning it can refuse to without a valid reason) and it requires a payment for the transfer. There are two options for the payment plan. You can transfer the points for a flat fee of $30.00 plus $0.01 a point or you can pay the flat fee of $30.00 with the condition that the points must be used within a year.
The Lesson: Since points can add value to your estate, it is wise to read the fine print of the policy and to talk to an estate professional regarding the transfer to an heir.
The Second Lesson: Practically speaking, leave instructions with relevant passwords and points-card locations with a trusted person. Some points, such as Shopper's Drug Mart can be redeemed by a simple transaction by the cardholder without informing the company that the cardholder has passed.
Alternatively, take that dream trip. If you have enough points, take someone you love with you. Use up those points. Life is short. Enjoy!
The content and the opinions expressed here is informational purposes only and does not constitute legal or professional advice. Nor does reading or commenting on it create a lawyer/client relationship with the author. I encourage you to contact me directly at adrianlawoffice@gmail.com if you have specific legal questions or concerns.
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