We do not recommend closing the account until the sister provides a copy of a letter or other document from the Social Security Administration (SSA) appointing her as the new representative payee.

When a representative payee dies, the SSA rules provide that it will “find a new payee or pay [the beneficiary] directly.” In either case, the new representative payee or the beneficiary should be able to obtain a letter or other documentation from the SSA confirming the identity of the person who will be receiving social security payments. Once you receive that documentation, we recommend issuing a check for any remaining account funds to the new representative payee in her capacity as representative payee.

For resources related to our guidance, please see:

• 20 CFR 416.650(f) (“When will we select a new representative payee for you? When we learn that your interest is not served by sending your benefit payment to your present representative payee or that your present payee is no longer able or willing to carry out payee responsibilities, we will promptly stop sending your payment to the payee. We will then send your benefit payment to an alternative payee or directly to you, until we find a suitable payee. We may suspend payment as explained in § 416.611(c) if we find that paying you directly would cause substantial harm and we cannot find a suitable alternative representative payee before your next payment is due. We will terminate payment of benefits to your representative payee and find a new payee or pay you directly if the present payee: . . . (d) Dies; . . .”)