Can parents legally drain their kids bank account?so my gf's been stressed out with her parents lately and she threatened to just walk out one night and the next day she discovered that her parents took all the money from her bank account. she is 18. this can't be legal, can it? after all, its her money that she's earned and saved up herself over the... |
No, it was not legal. The bank did nothing wrong in releasing the funds to a joint account holder, but the fact that funds belonging to only one person were held in a joint account does not mean that the other account holder has a legal interest in those funds. Children do not have any financial obligation to their parents who have supported them as legally required. If she cannot work this out with her parents (the best idea) I would suggest that she consult an attorney about pursuing civil remedies.
ADD: There seems to be some objection to my assertion that funds in a joint account do not become joint property simply because they are in such an account. There is a presumption that all funds in an account are gifted to other depositors, but it is ONLY a presumption. That presumption can be rebutted by evidence that the deposit was solely for convenience, rather than to make a gift. That presumption would seem to be rebutted in the circumstances described here where only ONE person is putting money in the account. Here are some links discussing this:
http://nationalparalegal.edu/willsTrusts...
http://www.oneplusone.org.uk/content_top...
http://www.maine.gov/dhhs/oads/aging/agi...
These sites note that, as I said, both holders of the joint account have an equal right to withdraw the funds BUT that legal action may follow if the funds are not truly owned by or gifted to the person withdrawing them.
Sound like gf just turned 18 and now wants her money because she is of legal age. Some states/banks may consider 21 as legal age. I suspect mom took the money out, because once she got the money it may have been gone in one day instead of re-investing and put some of that money in her own account. Mom knows her daughter better than we do. Most 18 year people would spend rather check into other accounts she could open in her name alone so she doesn't spend all. I think she did do a wise thing by opening a savings account, but I suspect this was started when she wasn't an adult and mom had to sign too. Other wise the bank would not have given total amount of account to mom. She need not be bitter, rather look at it as mom it trying to do the right thing and is concerned about her future. 18 is still pretty young for her to have access (even though she contributed) at this time, because, like I stated, she would most likely go out and spend and now has to start all over and then that's a if. As grandparents, we have set up accounts for both girls, one now 16 and other just turned 21. At age 21 she was entitle to the money in the account and could take it out if she wished. She decided to change that account (21 year old) because she just isn't financially to handle any kind of finances at this point. She can collect when she's 30 yrs. Hopefully at that time she'll be fore award/knowledgeable about finances. Many parents/grandparents will make such stipulations in their wills or those that take care of finances/investments. Both know we put money aside from them, but don't know how much. It's now up to them to start their own accounts in their names only even if underage (check bank institutions) about that. You can talk until you're blue in the face about saving money, but in the end they need to learn this for them selves or talk to mom and dad about saving accounts and what they're there for. They should not be touched, because once that starts it will continue until all is gone. If kids are working some $ needs to be taken right off the top of their checks (doesn't matter how much) which could be even a couple of bucks. The girl want she wants/when she wants so that where mom steps in. If you, the bf is tired of all this mess then do her a favor and try to tell her it's all for the best. She may take the money, spend the money and turn around and ask mom/day for money she no longer has. So when does it all stop ... when mom feels she's responsible enough to handle it.
In Ontario anyone can get a 1/2 hr appointment with a certified Lawyer for free . During the visit the Lawyer will answer any questions She has concerning this event. Nothing prevents Her from visiting more than one Lawyer if She requires more advice. Advise She makes a appointment first thing Monday morning.Also if ever My parents did this to Me I would leave and never return and They can keep the money .
Yes, they can. Each joint owner of a bank account owns 100% of the funds in that account. If she had a joint account with her parents, it was perfectly legal for them to take the money.
Why did her parents do that?? Maybe it has something with you? They don't like you very much, do they?
In order to keep peace in her life, stay away from her until she is no longer dependent on her parents for support.
If their names were also on the account the money in the account is just as much theirs as hers - legally - and there is nothing she can do about it. She should have changed the account into her name only. If the account had been in her name only they wouldn't have had access. That goes for boyfriends as well. In other words unless she is married she would be foolish to have a joint account with anyone.
If their names are on it, of course. She needs to open an account in only her name now that she is 18.
If it was a joint account with the parents, the answer is yes. If only her name was on the account, the answer is no.
When you deposit money into a joint account, legally it becomes joint money...which means yes her parents can withdraw it all. She needs to open her own account, preferably at a totally different bank, in her name alone.
If she didn't change her account to where she is the only persons name on the account when she turned 18 there is little she can do about it.
As I see it, parents can do anything they want as long as science backs them with DNA and a birth certificate..... 18 year olds
