10/29/2012
A business customer who has an analysis checking account wants to include his personal checking account in the analysis group. Have you heard of this request before, and do you feel this is a viable request? The business account is not a DBA.
10/01/2012
A joint account with right of survivorship that has a deceased primary owner: What are the ramifications of reporting interest earned on a deceased primary owner's SSN when an account has a surviving joint owner? Who is liable for these ramifications - we, the institution, or the surviving owner(s)? When a primary owner dies, we request that the surviving owner(s) close the existing account and re-open a new one in their name, but we don't REQUIRE it. Are we doing something wrong?
09/24/2012
Where can I find information about the ins/outs of IOLTA accounts (bankers responsibilities)?
09/17/2012
What is the difference between APY and YTM?
09/03/2012
Corporations now can have interest bearing checking accounts but not NOW accounts. What is the difference?
09/03/2012
Is Vendor's Single-Interest insurance (VSI) considered a finance charge?
08/20/2012
We have opened a business account for a Sole Proprietor and the owner wants to add more signers to her account. The New Account Rep choose Authorized signer and had the additional signer to sign in that area along with a bank resolution. The new account reps card was sent back to her and she was told that it was done wrong that she should have only put the owner in the authorized signer area and put the other signers in the Convenience Signer area. Who is right and why?. There is only room for two signers in the convenience signer area.
08/20/2012
We recently came across a joint account where the primary tax reporting owner has been deceased for over a year. Judging by the information on-hand, the death was discovered through the obituaries. The joint owner is still actively using the account by electronic means but we have neither been notified in person nor received any legal documentation. I have searched state statutes and have been unable to come up with an answer to this question. Is there a required time frame or a suggested time frame in which these type of accounts should be transferred into the joint owners name and tax ID number? I'd like to pose the same question in regards to single party accounts. Is there a time frame recommended to getting this account settled?
08/13/2012
I've been asked to research what compliance issues there might be with changing our CD early withdrawal penalties from interest based (e.g., 3 months interest) to principal based (e.g., penaltiy is 1% of principal amount at opening or renewal).In what I've been able to find, the only thing I see relates to the Reg D requirements for the penalty to be at least 7 days simple interest if the withdrawal occurs within the first six days to be considered a time deposit. Assuming we can cross that hurdle, are there other compliance issues that I'm missing? UDAAP potential comes to mind, but if we are clear and transparent in disclosing the penalty are there other aspects of UDAAP that could bite us? We are looking at this as a defensive/customer retention tactic. With today's rates so low, and as a result with interest-based early w/d penalties also low, customers have no real downside to locking in higher yields today by putting into long term CDs with the thought that if rates jump significantly in a year, the penalty will be more than offset by moving to a higher yield CD early.I'd be interested in hearing any thoughts. We have heard anecdotally that other banks may be considering or already doing this. Is anyone aware of a bank doing this at this time?
08/06/2012
When opening an account with a rep payee, what is the correct way to title the account and who would be considered primary account holder?