Bank Accounts

Started by JillJ4 • 5 replies • 283 views

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JillJ4
Posts: 29

Posted:

Does your HOA change access and signatures for bank accounts whenever said board members get changed?
I am finding it a little cumbersome to have to keep changing names on our accounts every time we get new board members. Just curious what other board do for this. We want control of our money so out MC does not have access to it. They only have access to deposit funds.

Thanks in advance!

TimB4 (Tennessee)
Posts: 21,059

Posted:

It's what you need to do - simply part of the job.

There are not many options outside of this except to limit access to specific positions.
I think it's more transparent if all board members are signatories and easier in case of overlapping vacations.

TimB4 (Tennessee)
Posts: 21,059

Posted:

The corporate transparency act compliance will be almost as cumbersome.

CathyA3 (Ohio)
Posts: 6,299

Posted:

Agree with Tim: it's part of the job, and if you don't do it then you won't be able to access association funds. There is no other option. Banks are remarkably hard-nosed about access to business accounts.

I also agree with multiple signatories. This can save you much grief if you lose most of your board for some reason. This can happen without warning, too - and the bank won't care about why it happened and how much you need to get access to the money. (You'd think they'd be used to dealing with HOAs and their misadventures, but banking regulations are banking regulations.)

WendyM5 (North Carolina)
Posts: 1,522

Posted:

I feel the same way. New treasurer resigned after 3 months, and I had to drive to bank to authorize other board members to be new signatories. But they have not driven down to bank to sign the cards due to being lazy.

Then I wanted to switch our bank to an online one called live_ _ _ bank.com because it gets 4% interest, and the other lazy board member votes no because the money might get lost moving it around. LOL. Meanwhile she hasn't bothered to be on the bank signatory. the logic.

anyways if you switch to online bank then the process is much easier and can be done online. Once we get a new board member I'm sure we will switch no brainer to use a bank that makes our lives easier and has 4% interest. missing 3 letter blank word is a tree that squirels love

vis ta vie

JohnC46 (South Carolina)
Posts: 14,265

Posted:

Our MC handles our operating expenses which one part of is deposits to our two reserve accounts. They can deposit in to our Reserves but they cannot withdraw from them. Any Reserve withdrawals require signatures of our President and Treasurer. That said, we have never withdrawn any funds from our Reserves.

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