QUESTION
Do I have to comply with my bank's demand?
Asked on May 10th, 2013 on Estate Planning - Colorado
More details to this question:
Last week I signed and had notarized a "Durable Power of Attorney for Financial Matters" document giving the power to my daughter. Stated on the form and initialized by me is the line that she may act on my behalf regarding Banking and other financial transactions. I thought that that was all I needed. My bank however begged to differ and says I must to fill out another long document to add her to my account before she would be able to access my bank account. I really don't need her to be added - just for her to able, if ever need be, have access to what little money I have. I also have just a very simple will as I have few assets and she is named as executor. Do I HAVE to add her to my bank account despite the wording of the power of attorney form that makes no mention of this requirement?
14 ANSWERS
Trust Attorney serving Cincinnati, OH
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Paul A. Nidich Attorney at Law
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No you don't have to add your daughter to your bank account. All too often, bank employees and too many bank attorneys are not familiar with Ohio Revised Code Section 1337.49. This section provides that: "Unless the power of attorney otherwise provides, language in a power of attorney granting general authority with respect to banks and other financial institutions authorizes the agent to do all of the following: (D) Withdraw, by check, order, electronic funds transfer, or otherwise, money or property of the principal deposited with or left in the custody of a financial institution There are many other provisions in that section that may apply to your situation. Assuming you had an attorney draft the Power of Attorney, you or your daughter should go to the bank and insist that the bank person call your attorney or have the bank's attorney call your attorney. Don't let an uninformed bank employee buffalo you.
Answered on May 14th, 2013 at 7:54 AM
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If you want to add her, you have to comply with the bank's rules. You do not HAVE to add her. If you become incapacitated, she can use the power of attorney to access your accounts. If you pass away, she can get it through the will or a small estate affidavit. It is certainly more convenient to add her.
Answered on May 14th, 2013 at 6:27 AM
Business Planning Attorney serving Livonia, MI
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Frederick & Frederick Attorneys at Law
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No, you do not need to add her, and you should not. I would speak to someone higher up in the bank hierarchy and find someone who knows the law and what they are doing. The person you spoke with gave you bad advice.
Answered on May 14th, 2013 at 6:00 AM
Commercial Contracts Attorney serving Boise, ID
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Peters Law, PLLC
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You can always go to another bank. You are right, the form is probably enough. However, the bank has its way of doing business and they can insist that you comply. My guess is that no matter where you go, the banks will require an additional form.
Answered on May 14th, 2013 at 1:43 AM
Admiralty / Maritime Attorney serving Monrovia, CA
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The Law Office of Nathan Wagner
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Assuming that you got the right Power of Attorney form, filled it out correctly, and executed it correctly, then no, you do not have to comply with the bank's procedure. But I suggest you do it the bank's way anyway. The whole point of giving her the Power of Attorney is to have peace of mind that she will be able to act for you if you are incapacitated. The bank is telling you that they will fight her ability to act for you. Now, if you are incapacitated, your daughter will have to hire a lawyer and go to court to get an order to make the bank do what you want. Even then, the court could decide that you did not complete the Power of Attorney correctly. It's not worth it. Just fill out the bank's form, and you will have peace of mind that your daughter can take care of your affairs.
Answered on May 11th, 2013 at 2:20 AM
Ask to speak to someone at the bank who knows what they are doing. Otherwise, suggest that you will take your business elsewhere.
Answered on May 11th, 2013 at 2:19 AM
Estate Planning Attorney serving Wilmington, DE
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Reger Rizzo & Darnall, LLP
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If the power of attorney is valid you should not need to add her to your account.
Answered on May 10th, 2013 at 4:11 PM
Probate Attorney serving Newport, OR
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Minor, Bandonis & Haggerty P.C.
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No, and joint bank accounts can create lots of problems in estate planning. Without reviewing your Power of Attorney (was it prepared by a lawyer?) I'll say that we run into this from banks a lot. Try this: tell the bank staff that if they won't honor your power of attorney, you'll withdraw your money and go find a bank that will.
Answered on May 10th, 2013 at 3:44 PM
Personal Injury Attorney serving Midvale, UT
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Arrow Legal Solutions Group, P.C.
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No you do not but banks don't necessarily have to comply with a power of attorney if they have concerns about validity. I would assume your durable power of attorney kicks in upon your incapacity. Putting her on the account gives her immediate access to it unless bank also has access based upon incapacity. I would switch banks.
Answered on May 10th, 2013 at 3:43 PM
Trusts Attorney serving Sacramento, CA
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Law Office of Victor Waid
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Banks set the rules as to their deposit accounts. You might inquire as to whether the bank has a limited authority access to your account by your daughter.
Answered on May 10th, 2013 at 2:28 PM
Probate Attorney serving New Orleans, LA
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James G. Maguire
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Unfortunately, it's up to the bank to decide whether or not they will honor a POA. I do them all the time, and word them as carefully and completely as I can, but banks sometimes still will not honor them. What you may have to do is go up the ladder at the bank, until the question gets to a person who has the authority to make a final determination. The people at the local branch usually don't have that authority, and you have to go over their heads.
Answered on May 10th, 2013 at 2:27 PM
Employment Law Attorney serving Dana Point, CA
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Mains Law Office
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No. You do not have to fill in the bank forms right now. At the point in time when your daughter would need to access the account, she would go to the bank with the power of attorney and sign any signature cards or documents needed by the bank at that time. For now, the power of attorney is sufficient.
Answered on May 10th, 2013 at 2:26 PM
No, she does not need to be on your account. Nor would you want her to be as that would subject you to her creditors. You should either talk to bank manager to get them to understand or switch to a different bank.
Answered on May 10th, 2013 at 1:57 PM
No. The bank is incorrect.
Answered on May 10th, 2013 at 1:53 PM