Answer:
Answer by John Burnett:
The authorized signer will neither own nor control the funds after the transaction. The fact they he/she may sign on the account does not constitute ownership in the fact situation you've posed.
Unless you are aware of facts that support the authorized signer's interest in a deposit transaction, don't list the authorized signer in Section A.
Of course, if the authorized signer is the party transacting the business, list him or her in Section B.
As to a withdrawal, if the authorized signer is effecting the withdrawal, but it's on behalf of the owner of the account, the owner gets listed in Section A and the authorized signer again goes in Section B. If the withdrawal is by check payable to the authorized signer, you should inquire about the party on whose behalf the transaction is being effected before completing Section A.
Finally, don't forget that if the authorized signer appears in Section A, and is also the party transacting the business, Section B is completed by checking box B(e), and nothing else.
Answer:
Answer by Ken Golliher:
If I am an authorized signer on John's account and he deposits $10,001 in currency I derive no benefit from that it's not mine.
Whether my name is listed in the account title or only on the signature card, I am only an agent, convenience signer, authorized signer, attorneyinfact, etc. I no more benefit from the deposit than when I am a signatory on a corporate account where the same amount is deposited. That money isn't mine either and, in both cases, my power to even sign on the account can be removed at any time by the real owner.
First published on BankersOnline.com 3/3/03
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