Opening Business Accounts for Credit Unions

There are many types of business accounts with many different ways to do business in banking today. It can be challenging to determine who is authorized to open, close and transact business when dealing with so many business entities. In addition to opening accounts in person for businesses, we now serve businesses online, with debit cards and through remote deposit. Because of these multiple entities and various approaches to opening accounts numerous questions arise. How do we set up these accounts and then change them as the businesses change? What happens when a partner dies? What happens when the sole proprietor dies? Can you keep the same EIN if a sole proprietorship incorporates? What if the LLC members are other businesses? How do they sign? We will look at tax issues when a business is disregarded and reported in a different tax number. And the list of questions goes on. Understanding designations, rules and authority on all different types of business accounts can assure that you are taking the proper precautions and can assist you in avoiding errors that can be costly to your organization. This is a must attend session for all who open business accounts and for those who train or supervisor in these areas!

What You Will Learn:

  • Changing signers on business accounts
  • What happens when an owner dies on a business account?
  • Can a business account have a Pay on Death designation?
  • Can a partner remove another partner?
  • How do we give debit cards on business accounts? Where is the liability?
  • How do we run Customer Identification Programs on business accounts?
  • Can we have a power of attorney on a business account?
  • With the new complicated limited liability company, how can we tell who is authorized to remove a signer when they are all managing members?
  • Multi-tiered business accounts with businesses owning businesses what are the CIP requirements
  • What is disregarding an entity for tax purposes and how does that affect our account styling?
  • Account authorization cards, account cards and endorsements

Who Should Attend?

This informative session is directed to Member Service Representatives, Branch Managers, Lenders, Management, Training and Branch Administration, Tellers who work in the commercial area of the credit union.