Webinar: Legally Handling the Credit Union's Right of Setoff on Deposit Accounts & Loans

Start: 3:00 pm
End: 4:30 pm
Event Days: 09/05/2013 - 09/05/2013

A credit union has the right to set off a member's account if certain legal requirements are satisfied. This webinar will explain those requirements and address the steps a credit union must take before it exercises its right of setoff.

You'll also explore the following questions: If a member defaults on a loan, when can the credit union apply money from the member's account to pay the loan?  Does the member have to be notified before the credit union exercises its right of setoff?  What if the member's account has more than one owner?  If the credit union receives a garnishment from another creditor, can the credit union setoff before honoring the garnishment? 

About This Session:     

This webinar will cover the following topics:

  • Fundamental nature of the right of setoff
  • Differences between setoff and foreclosure of a security interest
  • Requirements a credit union must satisfy before setoff is permitted
  • Competing claims for the member's funds: Who wins?
  • How the automatic stay in bankruptcy affects the right of setoff
  • TAKE-AWAY TOOLKIT with an employee training log and staff quiz/answer key

Who Should Participate:

Any credit union personnel involved in the deposit, garnishment or collection areas

About the Presenter:

Elizabeth Fast, JD & CPA, Spencer Fane Britt & Browne LLP

Elizabeth Fast, Esq., is a partner with Spencer Fane Britt & Browne LLP, where she specializes in the representation of financial institutions and acts as head of the firm's training division. Before joining Spencer Fane, she was General Counsel, SVP and Corporate Secretary of a $9-billion bank with more than 130 branches, where she managed all legal, regulatory and compliance functions. Fast is a member of the Missouri State Banking Board by appointment of the governor.