Written by Benjamin Kingsley

Do you have questions about or need assistance with a power of attorney? Please click here to email us at contact@legalandme.com.

Do you need a power of attorney form? We make a do-it-yourself power of attorney: finance power of attorney or healthcare power of attorney.

To create a power of attorney (POA) for bank transactions, an individual should follow these general steps under U.S. state law:

First, the person granting the power of attorney (the principal) should obtain or draft a POA document that complies with their state’s requirements. Many states offer standardized POA forms, or an attorney can draft a custom document. The POA should clearly specify the powers being granted, particularly those related to banking and financial transactions.

Next, the principal must sign the document in the presence of a notary public. Some states may require additional witnesses. Once properly executed, the POA becomes a legally valid document under state law.

However, it is important to note that banks and other financial institutions often have their own internal policies regarding powers of attorney. Even if a POA is legally valid under state law, a bank may still require the use of its own proprietary POA form. This is because banks have a duty to protect their customers’ assets and may have specific requirements or limitations they wish to impose on POAs used for transactions at their institution.

If a bank insists on using its own form, the principal may need to complete and sign the bank’s POA document in addition to their existing state-compliant POA. This can create a situation where multiple POA documents exist, but it is often necessary to satisfy the bank’s internal policies and ensure smooth financial transactions.

To avoid potential issues, it is advisable for individuals to contact their bank directly when creating a POA for banking purposes. They should inquire about any specific requirements or forms the bank may have. By addressing these matters proactively, the principal can ensure that their chosen agent will be able to effectively manage their banking affairs as intended.

Do you have questions about or need assistance with a power of attorney? Please click here to email us at contact@legalandme.com.

Do you need a power of attorney form? We make a do-it-yourself power of attorney: finance power of attorney or healthcare power of attorney.