Setoff before bankruptcy
06/21/2020
We have been hearing rumors that our customer, ABC Corp., is going to file bankruptcy. They have a loan with us that is current and they have a deposit account. Can we use setoff to grab funds?
Mary Beth Guard is one of the four co-founders of BankersOnline and is now Editor Emeritus, after more than 16 years of serving as Executive Editor. She was instrumental in the creation and expansion of BankersOnline, as well as the launch more than a decade ago of BOL Conferences, Inc. and its continued operation and growth. Mary Beth is also the director of BankCompliance.com, the subscription-based compliance service now being offered online. Also, Mary Beth serves as CEO of Glia Group, Inc., which produces BOL Learning Connect. For nearly four decades, Mary Beth has utilized her background as an attorney to focus on banking industry issues, first as general counsel for the Oklahoma State Banking Department, then as general counsel for the Oklahoma Bankers Association, prior to her work with BankersOnline.
Mary Beth has presented training programs for virtually every major national financial industry association, as well as more than a dozen state bankers associations and a host of other organizations. She is a frequent presenter of webinars and seminars. In addition, Mary Beth has written more than a thousand banking-related articles and is BOL Guru #1.
You can contact Mary Beth via email at mbguard@bankersonline.com or by telephone at (405) 272-1642.
06/21/2020
We have been hearing rumors that our customer, ABC Corp., is going to file bankruptcy. They have a loan with us that is current and they have a deposit account. Can we use setoff to grab funds?
06/14/2020
What is the difference between setoff and offset?
06/07/2020
When a former customer who left owing us money shows up at the teller window to cash a check written to him by one of our account holders, can we seize the proceeds of the check to go toward what we’re owed?
04/12/2020
In what situations can an attorney in fact be allowed to transact on behalf of a trustee?
04/05/2020
Do all husband and wife trusts become irrevocable upon the death of one of them?
03/29/2020
If the trust is using the SSN of the grantor, and the grantor dies, how soon after death must the trustee obtain an EIN for the trust?
03/22/2020
If there is more than one grantor/trustee, as in a joint trust, upon the death of the grantor whose SSN was used, can the SSN of the surviving grantor then be used?
03/15/2020
We set up an account today for a young widow. She wanted it to be a joint account between her and her little boy (he’s 4), in case anything happened to her. Problem?
03/15/2020
If the trust has two grantors (husband and wife) and one of the grantors dies, is the trust still revocable until the second grantor dies?
03/08/2020
Parents of three kids came in to set up a UTMA account today. They insisted they wanted all three kids on the account, so that’s the way we handled it. Problem?