My cousin was allowed access to her mother's bank account. She signed where it states that she has power of attorney, but the bank can't provide a copy. They are also stating that she is a signer, but she only signed as power of attorney. We have since found out that she used the funds in the account for her own use, allowed her mother's home to be foreclosed, and caused a huge dollar amount in NSF charges. Is the bank responsible to show proof of the power of attorney?
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It's possible that under your state's laws the signature card may actually have created a limited power of attorney without any need for an outside document. It's also possible that the bank reviewed an actual power of attorney document, returned it without taking a copy, and had the attorney-in-fact (your cousin) sign the card.
Whether the bank may have some liability under the circumstances you've described is for a court to decide when your aunt starts legal action to try to recover the funds your cousin apparently took from her without authority. If your aunt is no longer alive, any action would have to be initiated by the executor or administrator of her estate.
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It's possible that under your state's laws the signature card may actually have created a limited power of attorney without any need for an outside document. It's also possible that the bank reviewed an actual power of attorney document, returned it without taking a copy, and had the attorney-in-fact (your cousin) sign the card.