Yes, we believe that you should require a statement of joint intent in this situation.

The Official Interpretations to Regulation B state that “a person’s intent to be a joint applicant must be evidenced at the time of application.” An “applicant” is any person who has requested an extension of credit. A “person” includes (among other things) both individuals and trusts. Consequently, if an individual and a trust co-apply for a loan, they must evidence their intent to be co-applicants (i.e., through a statement of joint intent). We are not aware of any exception to this requirement when a trust and the trust’s beneficiary co-apply for a loan.

For resources related to our guidance, please see:

• Regulation B, 12 CFR 1002.7(d)(1) (“Except as provided in this paragraph, a creditor shall not require the signature of an applicant's spouse or other person, other than a joint applicant, on any credit instrument if the applicant qualifies under the creditor's standards of creditworthiness for the amount and terms of the credit requested. . . .”)

• Official Interpretations, Regulation B, 12 CFR 1002, Paragraph 7(d)(1), Comment 3 (“A person's intent to be a joint applicant must be evidenced at the time of application. . . .”)

• Regulation B, 12 CFR 1002.2(e) (“Applicant means any person who requests or who has received an extension of credit from a creditor, and includes any person who is or may become contractually liable regarding an extension of credit. For purposes of § 1002.7(d), the term includes guarantors, sureties, endorsers, and similar parties.”)

• Regulation B, 12 CFR 1002.2(x) (“Person means a natural person, corporation, government or governmental subdivision or agency, trust, estate, partnership, cooperative, or association.”)