Notice: Function _load_textdomain_just_in_time was called incorrectly. Translation loading for the wp-migrate-db domain was triggered too early. This is usually an indicator for some code in the plugin or theme running too early. Translations should be loaded at the init action or later. Please see Debugging in WordPress for more information. (This message was added in version 6.7.0.) in /srv/app/gotoiba-dev/htdocs/web/wp-includes/functions.php on line 6121
A customer presented an Illinois Statutory Short Form Power of Attorney (POA) for his mother. The POA gives the customer the power to make financial institution transactions, and he has asked to put his name on his mother’s account as a second owner. Is he authorized to do this? – IBA Compliance Connection

IBA Compliance Connection

Your go to source for compliance!

A customer presented an Illinois Statutory Short Form Power of Attorney (POA) for his mother. The POA gives the customer the power to make financial institution transactions, and he has asked to put his name on his mother’s account as a second owner. Is he authorized to do this?

—

by

Yes, we believe an agent with a valid POA that has been granted the authority to make financial institution transactions may add themselves as a joint owner on the principal’s account.

The Illinois Statutory Short Form Power of Attorney for Property includes the power to make “financial institution transactions” in line item (b) — provided that item (b) has not been crossed out on the POA document signed by your customer. An agent who has been granted this power may “exercise all powers with respect to financial institution transactions which the principal could if present and under no disability.” This includes adding a second owner to an account.

For resources related to our guidance, please see:

  • Illinois Power of Attorney Act, 755 ILCS 45/3-4(b) (“Financial institution transactions. The agent is authorized to: open, close, continue and control all accounts and deposits in any type of financial institution (which term includes, without limitation, banks, trust companies, savings and building and loan associations, credit unions and brokerage firms); deposit in and withdraw from and write checks on any financial institution account or deposit; and, in general, exercise all powers with respect to financial institution transactions which the principal could if present and under no disability.”)