My son went into the bank to deposit money and they said his UTMAaccount will have to change when he turns eighteen. They proceeded to talk my son into opening new accounts without allowing him to check with me (his mother), who is also on the account. His accounts were linked to mine, so there would be no fees. Can they legally manipulate my son into changing his account when he is still under eighteen?
If the account was actually established as a UTMA account, the bank had no business and no legal right to take any action on it without the agreement of the custodian. We regularly advise banks not to do so, even if the beneficial owner of the account has reached 18 or 21, as the case may be.
Whether or not the bank could legally open deposit accounts in your son's name is not really something we can answer because state laws vary so much. However, if you are the custodian on the UTMA account, you are entitled to hold the bank accountable for its actions. Contact the manager of the bank branch as soon as possible to get your concerns addressed.
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If the account was actually established as a UTMA account, the bank had no business and no legal right to take any action on it without the agreement of the custodian. We regularly advise banks not to do so, even if the beneficial owner of the account has reached 18 or 21, as the case may be. 