Durable Power of Attorney limitations. Anyone have a similar experience?

My mom and I have a joint checking account. My sister is DPOA for our mom and can write checks from the account as long as she uses her name and references the DPOA.

DPOA means that the person with the DPOA can make decisions All The Time. It is not limited to just when the other person is ill. See a lawyer if there are any questions about any limits to the DPOA.

We were told by my mom's bank that the only way to take me off the account is to close it and open a new one.

It would be a good idea to see a lawyer that specializes in Elder Law. You can often get a free consulation. It WILL get very messy if you have too many people on her accounts or co-DPOAs.

Before you do anything.. make sure Fred has a login for social security so that when you change the account he can login and change it for his direct deposit. Then go ahead and open a new account. Maybe at another bank since they are being so difficult

My bank would not allow me to remove a co owner even if they consented. I had to open a new account (I was setting up a living trust account).

Keep in mind that any direct deposits and automatic payments will need to be redone, so have a look at some past statements to get an idea of the amount of work involved before recommending it to Fred. Most would be monthly, but watch out for things like home or car insurance, or tax refunds or stimulus payments.

Note that Social Security won’t take the POA since they have their own, payee system.

Also consider new checkbook ordering options. Orders through the bank can be pricey.

Be aware that some banks used to link accounts under the same name to cover overdrafts. Does his?

I don't beliee you can remove people from bank accounts unless they're dead. Closing it and opening a new one is all you can do.

I'd find a bank SIL isn't affiliated with, too. There are some questionable ethics there.

I would transfer all his money into a new account(s) and include your name. I would leave $5 in the other account for her. I recommend you checking out all his financials because she possibly has her name on other accounts too! I had a similar situation with my dementia mom. My mom lost over $155,000.00 due to allowing a friend on her accounts. I would take action quickly

Southern Sun, I picked up on that. So, in business banking and others, mostly extremely wealthy patrons, banks offer a private banking service. So, without being overly complicated, there are rules, in place on the service. So even though the private banker is "on the account" they are by no means a co-owner which is what you have described. If you call a regional VP, they will not have the same relationship as bank manager and SIL. Make the threat, they will fold but be prepared to act on it. Oh and check statements to see if they are charging a "fee."

Its my sister-in-law who works at the bank with her name on my brother's account. Bank manager told me S.law would have to consent to removal as "she is a team member."

Boy, he is very trusting. I think brother needs to straighten this out.

"until he is well enough to come home from rehab and resume"

Is this a DPOA? Sounds like to me its limited to just while he is in the rehab. I see no reason to see why he needs it since he has the SIL on the account. She can pay the bills.

If brother feels he needs a DPOA, then he needs to change his accounts. Maybe he wants the SIL his beneficiary. Thats OK and you can have the right to pay bills.

Do you get along with SIL?

If not, you tell the bank manager's supervisor that SIL she misused her position and misrepresented information to the account principle. Mention the team member comment which is a conflict of interest. Then you ask how this can be resolved without you having to contact Department of Insurance & Finanancial Services and the Consumer Financial Protection Bureau.

Absolutely correct. The bank cannot remove someone from an account if the account holder put them on, and you cannot manage an account as POA when it is co-owned by another person. The only way this can work is for the Sister on the account and the Brother whose account it is to change ownership on the account.

Hmm...the bank seems to be conflating business with personal and I don't understand that. You seem to imply that your sister is not willing to remove herself from the account. If this is true, I don't know how you can close the account or even remove all the funds, but if you can, I would. How do you know if all the funds in the account belong to your brother or the others? Banks all seem to have different protocols, so one answer may not apply to your brother's bank. Which bank is it? Better to get your sister on board but if not, you move ahead without her for your brother's sake.