08/06/2012
We have customers who have social security checks for dependents made in the following manner: "John Doe For Jane Doe" wherein in some cases the dependent is either a child or disabled person. I argue that these checks are payable to "John" as he is the first payee, and "Jane" is not actually a payee. Therefore, the check should be negotiable by John, or depositable into an account held solely by John. My FI has recently instituted a rule requiring these types of checks to be deposited into a) a UTMA account for "Jane" b) a Rep-Payee account for Jane or c) an account held solely by Jane. As in many cases Jane is either a minor or disabled, I believe forcing an account to be opened under her name to be irresponsible banking. I would like to know the guidelines for negotiating a check made either to "John Doe For Jane Doe" or "John Doe For the Benefit of Jane Doe"
07/23/2012
Can the successor trustee use their name and Social Security number for titling with the trust name listed secondary? I have a copy of the appointment of successor trustee for my customer. She receives checks payable to her as successor trustee for the trust. Do I need the customer to obtain a TIN for the trust?
05/21/2012
Our FI charged off a checking account and the person no longer has an account relationship with us. Another FI in town called inquiring about the status of the account. Apparently the person is writing checks off of the closed account and cashing them at the other FI. Who is responsible for filing a SAR? Would it be the other FI since that is where the transactions are occurring? Or since we now have knowledge of the activity are we required to file?
05/21/2012
Our FI charged off a checking account and the person no longer has an account relationship with us. Another FI in town called inquiring about the status of the account. Apparently the person is writing checks off of the closed account and cashing them at the other FI. Who is responsible for filing a SAR? Would it be the other FI since that is where the transactions are occurring? Or since we now have knowledge of the activity are we required to file?
03/12/2012
We know that tax refunds should not be deposited into an account that does not belong to the taxpayer. Are Social Security checks the same way, and are direct deposits for payroll the same?
02/06/2012
Is it proper for a merchant to require a customer to give his Name, Phone Number "and" SSAN in order to cash a check?
01/30/2012
When opening a Representative Payee account, I have always been instructed to request the documentation from Social Security appointing the Representative to set up the account. Is this correct, or can just a copy of the check be used?
01/09/2012
A local college (bank customer) gives "scholarship" checks to students to use as they want. We never know when they will be issued or for how much, but the total is quite large. We do not keep that much on hand to cash these checks. An agreement with the college is that we will not cash these "on-us" checks for more than $1000. Can we refuse to cash on-us checks?
12/05/2011
Is there any regulation that requires obtaining/retaining a copy of a social security number and drivers license for any and all checks cashed for a non-customer, whether it is an on-us check or a check from a non-customer to an existing bank customer? We do understand the need to pull OFAC on all transactions that involve a non-customer no matter the amount of the check. It is very time consuming to make copies of IDs and the checks. Are examiners going to the extreme? If we check identification, it seems that with the OFAC that should suffice. Are all banks required to do this now?
10/31/2011
We recently had a business customer deposit checks at our office. This business also has an account at another bank with remote capture. We received several checks that are already being deposited by remote capture from this business. What are the legal steps to take with this customer? Freeze account? SAR? Charges?