IBA Compliance Connection

Your go to source for compliance!

A married couple added a secretary from their business as an authorized signer on a CD. The CD has matured, and the couple would like the authorized signer to renew the CD, since they are out of town. Can an authorized signer renew the CD or otherwise change its terms?

—

by

Yes, we believe the authorized signer should be able to renew the CD or agree to new account terms, provided that this would not be inconsistent with the terms of your account agreement and any collateral agreement you may have defining the scope of the authorized signer’s authority.