My mother and her stepmother are listed on a CD as "Mom" and "Stepmom." No JTWROS or anything else. Under this styling, can one of them cash out the CD at maturity without the other's signature? We've received both yes and no
responses from different bankers at the same bank! We live in Texas.
The Texas banking statutes showed no unique provisions that would lead one to believe that Texas certificate of deposit are much different from CD accounts at banks in other states. The language of the deposit contract should indicate if there is any agreement between the bank, your mother and her stepmother that the bank must obtain both depositors' signatures to close the account or make withdrawals from it. If there is nothing in the deposit contract to that effect, then either of the owners can withdraw funds from the account without the other owner's agreement. Dig out the contract, or have the bank do so, and read it to determine who can do what and when with this account.
BankingQuestions.com is a free service made possible by the generous support of our advertisers. Advertisers are not responsible for site content. Please help us keep BankingQuestions.com FREE by supporting our advertisers. When you see an ad for a product or service you may have an interest in, click through to learn more.
Accounts
Article
Q&A
Podcast
Video
Blog
Discussions
PDF
Powerpoint
The Texas banking statutes showed no unique provisions that would lead one to believe that Texas certificate of deposit are much different from CD accounts at banks in other states. The language of the deposit contract should indicate if there is any agreement between the bank, your mother and her stepmother that the bank must obtain both depositors' signatures to close the account or make 