A potential client wants to open an account for an organization with an EIN. Our core processor told me the individual who would be the signatory having authority to transact on the account must become a joint owner under his SSN. Is this correct from a compliance perspective? Is there a way we could open a checking account for an organization and not require the signatory's SSN. Sorry we are a very small outfit and I am a bit confused.

Signers are not joint owners on business accounts, they are signers on the account - that is it. If your financial institution's CIP program requires CIP on signers then you will need the SSN of all signers.

Your core processor cannot dictate your CIP.

I agree with MS Kaybee. Could they (you) be tring to use the SSN to verify the customer for your CIP?

If you CIP program requires all signers on business (and other orgnization) accounts to be owners, you need to change your CIP program. If someone at your core processor is telling you that all signers on business accounts must be owners, you need to go over that person's head. That is crazy beyond belief. Can you imagine if all bookkeepers were also owners on their employers' accounts?

Some institutions get basic information on all signers (address and identification number), but no financial institution should require them to be owners on the accounts.

Is the business a sole proprietorship?