[Code of Federal Regulations]

[Title 12, Volume 6]

[Revised as of January 1, 2006]

From the U.S. Government Printing Office via GPO Access

[CITE: 12CFR745.8]



[Page 613-614]

 

                       TITLE 12--BANKS AND BANKING

 

            CHAPTER VII--NATIONAL CREDIT UNION ADMINISTRATION

 

PART 745_SHARE INSURANCE AND APPENDIX--Table of Contents

 

  Subpart A_Clarification and Definition of Account Insurance Coverage

 

Sec. 745.8  Joint ownership accounts.



    (a) Separate insurance coverage. Qualifying joint accounts, whether 

owned as joint tenants with right of survivorship, as tenants by the 

entireties, as tenants in common, or by husband and wife as community 

property, shall be insured separately from accounts individually owned 

by any of the co-owners. The interest of a co-owner in all qualifying 

joint accounts shall be added together and the total for that co-owner 

shall be insured up to $100,000.

    (b) Qualifying joint accounts. A joint account is a qualifying joint 

account if each of the co-owners has personally signed a membership or 

account signature card and has a right of withdrawal on the same basis 

as the other co-owners. The signature requirement does not apply to 

share certificates, or to any accounts maintained by an agent, nominee, 

guardian, custodian or conservator on behalf of two or more persons if 

the records of the credit union properly reflect that the account is so 

maintained.



[[Page 614]]



    (c) Failure to qualify. A joint account that does not meet the 

requirements for a qualifying joint account shall be treated as owned by 

the named persons as individuals and the actual ownership interest of 

each such person in such account shall be added to any other accounts 

individually owned by such person and insured up to $100,000 in the 

aggregate. An account will not fail to qualify as a joint account if a 

joint owner is a minor and applicable state law limits or restricts a 

minor's withdrawal rights.

    (d) Nonmember joint owners. A nonmember may become a joint owner 

with a member on a joint account with right of survivorship. The 

nonmember's interest in such accounts will be insured in the same manner 

as the member joint-owner's interest.



[64 FR 19687, Apr. 22, 1999]