Answer:
Answer by Ken Golliher
In a different environment, there would be some questions I would like to ask about your procedures. However, assuming that the contract only required one signature for withdrawal and your employee had the husband sign the signature card before he signed the withdrawal slip, it does not make a lot of sense for the wife to say he did not have a right to withdraw the funds.
Answer:
Answer by Mary Beth Guard
I'd want to look at the deposit account agreement and signature and see how they describe who the "owners" of the account are. If the documents refer to the "abovenamed owners" and it lists all three individuals, then those should be considered the owners of the account, regardless of the fact only one has signed. On the other hand, some agreements and signature cards expressly state that the owners are the individuals who sign the agreement. If that is the case, then you have a discrepancy between the names listed on the contract and those who are supposed to be considered the owners (in this case, just the wife if she is the only one who signed). Whether the husband, in that situation, would be deemed to have a right to withdraw is anyone's guess. The best strategy a financial institution can employ is to avoid this kind of inconsistency. If you're setting up a joint account, get the signatures of all the joint owners.
When you have some down time, spend it going through your signature cards. Look for signature variances before they become problems and get them corrected while everybody is still happy.
First published on BankersOnline.com 2/4/02
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