Currently, when we approve a loan with a joint applicant (non-member at the time of the loan approval/funding), we require the joint applicant to setup a separate account with $5.00 in savings (par value of a share). I found the following guidance regarding joint owners and separate membership accounts... http://www.ncua.gov/Legal/OpinionLetters/OL2004-0257.pdf Someone new to our lending department suggested that other credit unions he has worked at did not require the joint applicant to setup a separate account (as a requirement of membership) nor establish a share (par value). The basis is that a lot of time is wasted establishing (and funding) a separate account that ultimately (most likely) will close after the loan is paid off. I would like to inquire how many other credit unions do not require the joint applicant to establish a share for loan funding.Please feel free to email me directly at delston@bayportcu.org.Thanks,Dan ElstonBayPort CU
April 30, 2014 - 3:31pm
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