Skip to content

Put Beneficiary on Sole Proprietor Checking?

Answered by: 

Can I put a Beneficiary on a Sole Proprietor checking account?

The conditions under which POD beneficiary designations are effective are purely a function of state law. Many states describe their provisions in a "multiple party" account statute. In one state, the provisions are actually contained in the state's probate code. A generic answer will be of no value to you.

Your state bankers association probably offers seminars on opening new accounts or deposit account administration that contain this information.

Note that even if such a designation is possible, it simply might not be a very smart thing to do if the sole proprietorship is a going business with employees and accounts receivable to pay. Doing what the customer wants could yield disastrous circumstances for the continued operation of the business on the owner's death.

First published on 01/13/2014

Filed under: 
Filed under operations as: 

Banker Store View All

From training, policies, forms, and publications, to office products and occasional gifts, it’s available here:

Banker Store

hot right now

image description

Looking for effective, convenient training on a particular subject?

BOL Learning Connect offers more than 200 courses ON-DEMAND or on CD ROM from AML to Reg Z and every topic in between.

Search Topics