Effect of Signature Card on Disposition of Joint Bank Account upon Death of Co-Owner under New York Banking Law

Read full paper at:
http://www.scirp.org/journal/PaperInformation.aspx?PaperID=52520#.VJpSPcCAM4

Author(s)  

James B. Biagi

Affiliation(s)

School of Business and Global Innovation, Marywood University, Scranton, PA, USA.

ABSTRACT

It is a common practice for people to open a bank account in the name of one or more owners (a/k/a co-owners) and not just in the name of a single person alone. It is also common for an individual to be added to the ownership of an existing account once it has been established. Oftentimes spouses, friends, family or business associates decide for various reasons, both financial and personal, to establish a joint bank account and hold it as co-owners. Furthermore, as the population ages, it has become a common practice for elderly individuals to place another person’s name on a bank account, effectively creating a joint account arrangement for a once individually held account. As is often the case when multiple parties share in a financial transaction, disputes can arise as to the disposition of the funds held in such an account, either during life or at death. In order to address this issue, New York, a major world financial center, has put in place specific legislation to address the disposition of a joint bank account governed by the laws of that State. In this article, the author discusses New York Banking Law §675 and its application to the transfer of funds held in a joint account at the death of a co-owner, paying particular attention to the effect of the account’s signature card on the issue.

KEYWORDS

Joint Bank Account, Signature Card, Joint Tenants with Rights of Survivorship, Tenants in Common

Cite this paper

Biagi, J. (2014). Effect of Signature Card on Disposition of Joint Bank Account upon Death of Co-Owner under New York Banking Law. Beijing Law Review, 5, 260-263. doi: 10.4236/blr.2014.54024. 

 

References

[1]	Estate of Corcoran, 63 A.D.3d 93 (3rd Dept. 2009).
[2]	Estate of Randall, 176 A.D.2d 1219 (4th Dept. 1991).
[3]	Jacks v. D’Ambrosio, 69 A.D.3d 574 (2nd Dept. 2010).
[4]	Lombardi v. First National Bank of Hancock, 23 A.D.2d 713 (3rd Dept. 1965).
[5]	Matter of Butta, 3 A.D.3d 347 (2nd Dept. 2004).
[6]	Matter of Camarda, 63 A.D.2d 837 (4th Dept. 1978).
[7]	Matter of Coon, 148 A.D.2d 906 (3rd Dept. 1989).
[8]	Matter of Friedman, 104 A.D.2d 366 (2nd Dept. 1984).
[9]	Matter of Klecar, 207 A.D.2d 732 (1st Dept. 1994).
[10]	Matter of Mantione, 66 A.D.3d 1468 (4th Dept. 2009).
[11]	Matter of Stalter, 270 A.D.2d 594 (3rd Dept. 2000).
[12]	Matter of Timoshevich, 133 A.D.2d 1011 (3rd Dept. 1987).
[13]	McGill v. Booth, 94 A.D.2d 928 (3rd Dept. 1983).
[14]	New York Banking Law §675.
[15]	New York Estate Powers and Trust Law §6-2.2.
[16]	Warren v. Warren, 95 A.D.2d 807 (2nd Dept. 1983).             eww141224lx