February 13, 2008, Introduced by Reps. Corriveau, Bieda, Miller, Robert Jones, LeBlanc, Moss, Vagnozzi, Alma Smith, Melton, Hammel, Polidori, Brown, Young, Ebli, Valentine, Cushingberry, Bauer, Leland, Jackson, Johnson, Sak, Hopgood, Angerer, Warren, Bennett, Hammon, Tobocman, Espinoza, Mayes, Spade, Gonzales, Griffin, Lemmons, Wojno, Dean, Byrnes, Byrum, Lahti, McDowell, Sheltrown, Condino, Kathleen Law, Donigan, Rick Jones, Brandenburg, Wenke, Emmons, Shaffer, Caul and Huizenga and referred to the Committee on Senior Health, Security, and Retirement.
A bill to amend 1968 PA 41, entitled
"An act to regulate credit union multiple-party accounts; and to
repeal certain acts and parts of acts,"
(MCL 490.51 to 490.65) by adding section 14b.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec. 14b. (1) When a multiple-party account is established at
a credit union, the credit union shall provide to each account
holder a written summary of that account holder's rights and
responsibilities concerning use of the multiple-party account.
(2) If the terms of a multiple-party account described in
subsection (1) will allow each account holder to withdraw all of
the money in the account without notice to or consent of any other
account holders, and provide that the surviving account holders
will become the owners of that account when an account holder dies,
then, in addition to the written summary described in subsection
(1), the credit union shall do all of the following before opening
the account:
(a) Provide each account holder in writing with the following
disclosure:
"A joint account means that each account holder is the owner
of the money in this account. This means that you and each of the
other account holders have the authority to deposit or withdraw
money from this account at any time.
If that is not your intention, you should not open this
account.
If it is your intention that the other account holder or
account holders receive the money in the account only when you die,
there are other types of accounts available that designate other
individuals as beneficiaries of the account and do not allow them
access to the money in the account during your lifetime.
If it is your intention to open an account that designates 1
or more individuals as beneficiaries of your account when you die,
and not to create a joint account, please let us know.".
(b) Read the disclosure described in subdivision (a) to each
account holder.
(c) Require each account holder to sign and deliver to the
credit union an acknowledgment that the bank has complied with its
obligations under this subsection.