Thank you for the response.
I have another setoff related scenario/question. Are there any special rules with regard to setoff when there are federal benefit payment on the account? This is a separate account from the one discussed prior.
Second situation: Again, joint account - and one owner recent died, a stop payment was issued for the Feb. Federal Benefit Payment. The ID number for the benefit payment changed and therefore at the beginning of March the Federal Benefit Payment posted to the account again (for the decedent). Joint owner (an adult child) withdrawals the FBP from the account; bank is required to return the FBP since recipient is deceased; joint account is now OD several hundred dollars. Adult child has been contacted and is not willing to return the money withdrawn, adult child also has an individual account with bank. Can we execute the right of setoff in this situation against the adult child's individual account? Wasn't sure if different rules apply when FBPs are involved. Thanks.