Last Month's Q&A Answered

The following question appeared in the Q&A section of Banking Spectrum's November 2013 Report Bulletin.

Compare your answer to the correct answer provided below.

Q: We received a POA with a gifts rider.  There is one agent, X, appointed and a successor agent, Y.  Both agents signed on line O, thereby giving the impression that they are co-agents.  Y did not sign on line P where the successor agent is supposed to sign.  May we accept this POA?

A: The bank has two choices.  Note on the POA that only X is to act as a POA.  If and when X no longer can serve, then Y can later sign on line P as successor agent on the original POA and then bring a new copy to the bank.  Or, have Y sign now on the original POA as successor agent on the correct line P and resubmit a corrected copy to the bank for its file.