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Consumer doing Business from Home-DBA Required?

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I thought if a bank found out a consumer was doing business from home, it was the banks responsibility to require they have a ​DBA. For instance; we have a consumer that deals in junk cars and scraps the metal. He brings in checks from scrap yards on a weekly basis made to him personally however we know that is how he makes a living. What is the ruling on that? Is there a reg that discusses ​this type of customers??

Any requirement to register as a DBA is a matter of state law; e.g. Florida and Michigan have different standards. In general, the question is does the customer use his own name as that of the business or does he use a name he only "assumed."

If you wish, you can require the individual to open a business account. You can also require a copy of any local, state, or federal license the law might require him to hold. However, if I am James Longstreet and the checks are made payable to "James Longstreet" there is simply no argument that I need to register under an assumed name.

First published on 09/24/2017

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