Broad Authority for Account Options
This statute sets the foundation for the types of accounts that banks, credit unions, and other financial institutions can offer. It confirms that joint accounts are available on the same terms as single-party accounts.
A financial institution may enter into a contract of deposit for a multiple party account to the same extent it may enter into a contract of deposit for a single party account and may provide for a pay on death designation and an agency designation in either a single party account or a multiple party account.
A.R.S. § 14-6221(A)Your bank or credit union can offer a joint account with survivorship or a pay-on-death designation on any deposit account. These options cover checking accounts, savings accounts, and other deposit products.
As a result, account holders can structure how their funds pass at death. They can do this without a will or trust.
Financial institutions are not limited to basic accounts. They can also offer individual retirement accounts and other specialized products. Choosing the right account type supports your broader financial goals and estate plan.
No Obligation to Investigate Deposits or Withdrawals
The law also protects financial institutions from having to police how accounts are used. A bank does not need to ask where a deposit came from. It also does not need to ask how a withdrawal will be spent.
A financial institution need not inquire as to the source of a deposit to an account or as to the proposed application of a payment from an account.
A.R.S. § 14-6221(B)While this rule mainly protects the institution, it has practical results for account holders. The bank will not question a joint party's right to make deposits or withdrawals.
That simplicity is helpful in many family situations. It also means there are limited safeguards if a joint account holder misuses the funds.
Families should think about whether a debit card or other access tools should be shared. This choice should fit their overall financial goals.