The League has released six newly-updated versions of WCUL account-related forms, two R.E.A.P. share draft forms, as well as the credit union employment application.
The affected WCUL forms are listed below, with hyperlinks to proof images:
- 81036 Custodial Account Ownership Agreement
- 81056 Credit Union Membership Application
- 81057 Organization Account Ownership Agreement
- 81080 Customer Identification Card
- 81110 Application for Employment
- 82012 Credit Union Share Certificate
- 82024 Account Ownership Agreement
- 82089 R.E.A.P. Share Draft Account Agreement
- 82090 Rules for Use of Your R.E.A.P. Share Draft Account
As always, WCUL forms are intended for compliance with Wisconsin and applicable federal laws.
Links to final “proof” copies of the new forms are provided above; just click on the form titles to view. Descriptions of the changes to each form are provided below, along with links to copies with the changes highlighted.
Please keep in mind that WCUL forms are designed for use in transactions subject to Wisconsin law and applicable federal law.
Please remember that the forms you use are important legal documents that set the terms of your transactions with members. The staff members using the forms should become familiar with those terms.
Contents
- How to obtain the fillable .pdf forms
- Use of WCUL fillable .pdf forms
- Descriptions of changes
- Custodial Account Ownership Agreement – WCUL #81036 (rev. 5/15) (8½ x 11 inch, single-sided).
- Credit Union Membership Application – WCUL #81056 (rev. 5/15) (8½ x 11 inch, single-sided).
- Organization Account Ownership Agreement – WCUL #81057 (rev. 5/15) (8½ x 11 inch, single-sided).
- Customer Identification Card – WCUL #81080 (rev. 5/15) (8½ x 11 inch, single-sided).
- Application for Employment – WCUL #81110 (rev. 5/15) (8½ x 11 inch, one 2-sided sheet).
- Credit Union Share Certificate – WCUL #82012 (rev. 9/15) (8½ x 11 inch, two 2-sided sheets).
- Account Ownership Agreement – WCUL #82024 (rev. 5/15) (8½ x 11 inch, single-sided).
- R.E.A.P. Share Draft Account Agreement – WCUL #82089 (rev. 6/15) (8½ x 11 inch, single-sided).
- Rules for Use of Your R.E.A.P. Share Draft Account – WCUL #82090 (rev. 6/15) (8½ x 11 inch, single-sided).
- Important reminders
| How to obtain the fillable .pdf forms |
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Credit unions should obtain and use the updated forms at their earliest convenience. As previously announced, WCUL forms are sold only in fillable .pdf format. Preprinted paper forms are no longer offered – a license must be purchased and then you may print your own.
Use of WCUL fillable .pdf forms
Credit unions may use the fillable .pdfs on their desktops or have them mapped to their data processing systems. It is up to the credit union to forward their licensed .pdf files to the data processor, if they choose, for installation and mapping for use on the credit union’s system. Your data processor will not have the forms until you forward them! Credit unions may also share this Compliance Courier with their data processor if doing so will aid in mapping fields.
Laser forms should be printed and reviewed for proper display. Compare printouts of the installed forms to the final proofs available through the links above.
Please keep in mind that the license for WCUL forms permits use of the same .pdf files for manual completion on a desktop. This may be a valuable option during the time it may take for a data processor to map the fields when putting an updated form on the system.
As with paper loan and account agreements, electronic copies cannot be legitimately altered after the member/owner(s) sign them. If members wish to change ownership, beneficiaries, or any other terms they must sign new documentation. New terms require new signatures by all owners.
Please address form order questions to Jeff Bonk at 800-242-0833, ext. 6044, and questions about completion of the forms and compliance to John C. Engel at ext. 6007.
Descriptions of changes
The specific changes to each form are summarized below. Each boldface title in the list below is a hyperlink to a proof copy that has the changes highlighted. Yellow highlighting on the linked final proofs shows the locations of new or revised text; pink shows new or revised fields. There may be some additional changes not highlighted, including but not limited to deleted text or fields, change in number of characters in fields, etc.
Account forms include updated IRS Form W-9 Taxpayer Identification Number (TIN) certification language. Inserting the extra language without expanding to additional pages required changes to layout, typography, and text. Efforts were made to create a more standardized appearance and more uniform terminology.
There are other non-substantive changes to the text of the forms as well, including the form number format, revision date, copyright date, and the removal of copy labels.
Most of these forms have been reduced from multiple copy sets to single copies. The credit union may specify the proper number of copies it will need when printing a form.
Preprinted labels identifying original versus copy have been eliminated and replaced by fillable fields in the footers, to be used at the credit union’s discretion. The Share Certificate is the exception. It is a four-sided, two page set that consists of one ORIGINAL given to the account owner(s), and the CU COPY WITH AGREEMENT. A long field has been added to the footer at the bottoms of many of these forms, allowing the credit union to display other information at its option. One possibility is that the names of the parties and the date of the document could be printed on each page of a multi-sided form.
Custodial Account Ownership Agreement – WCUL #81036 (rev. 5/15) (8½ x 11 inch, single-sided).
#81036 – Pink and Yellow highlighted version.
This form documents the opening of a share, share draft or other asset account at the credit union under the Wisconsin Uniform Transfers to Minor’s Act. The form documents the owner(s) agreement to essential terms such as the bylaws, setoff, type of ownership, survivorship features, P.O.D. beneficiaries, agent designation, TIN certification, and other issues.
As required by law, the form includes space for the name of only one minor (who is the member and owner of the account), and only one custodian, who controls the account for the benefit of the minor until the minor reaches the age of 21.
An additional space is provided for the custodian to designate a successor custodian. Please see ii Release No. 0012 for more on the rules to follow for UTMA custodial accounts.
A separate card is required for each separate account (aka “sub-account”) under the membership number.
Changes were made to the form to:
- Add basic “terms and conditions” referencing the credit union bylaws, applicable law, and payment of dividends,
- Clarify that the account number should consist of the membership number and a suffix (a separate account agreement card is required for each suffix),
- Clarify that only one custodian and one minor may be named on an account,
- Add share draft and club accounts as investment options,
- Add removal of the custodian as a trigger for a successor custodian to assume control of the account, and more precise language as to who is permitted under the law to serve as a successor custodian,
- Add spaces for the email addresses of the custodian and successor custodian,
- Add boxes to enclose the Designation of Custodian and TIN Certification sections,
- Update the IRS TIN certification language, including space for a FATCA exemption code,
- Inform the signer that the IRS Form W-9 with instructions is available upon request,
- Instruct that an IRS Form W-8 (e.g., Form W-8BEN) should be used if the minor is not a U.S. Person,
- Clarify that the TIN certification is only for a U.S. Person, which term is defined, and
- Add a footer field which a credit union may use to insert desired information.
Credit Union Membership Application – WCUL #81056 (rev. 5/15) (8½ x 11 inch, single-sided).
#81056 – Pink and Yellow highlighted version.
This form is for use in documenting an individual’s or organization’s application to become a member of a Wisconsin credit union, verification of eligibility, and, when appropriate, rejection. See ii Release No. 0001 for more information on credit union membership. This form opens a credit union membership, not an account. A separate account ownership agreement must be used to open each account suffix.
This membership application form may be used for individuals or businesses that qualify for membership under the credit union’s bylaws.
Changes were made to the form to:
- Revise the applicant name line to accommodate organizations,
- Add spaces for the state and date of issue of a driver’s license or I.D.,
- Add spaces for the employer’s address and phone number,
- Add a space for the title of an authorized person signing on behalf of the applicant,
- Add blank fields for additional applicant information and for notations about the membership approval decision,
- Add new checkboxes to document additional bases of eligibility for membership for individuals as well as for businesses and organizations,
- Add a check box to indicate approval of the membership application, and
- Add a footer field which a credit union may use to insert desired information.
Organization Account Ownership Agreement – WCUL #81057 (rev. 5/15)
(8½ x 11 inch, single-sided).
#81057 – Pink and Yellow highlighted version.
This form is used to open a share, share draft or other asset account at the credit union by an organization. The form identifies the type of organization and the source of authority for signers on the account. The form documents the owner’s agreement to essential terms such as the bylaws, setoff, type of ownership, P.O.D. beneficiaries (only for a sole proprietorship), TIN certification, and other terms disclosed. Please see ii Release No. 0161 for guidance on organization accounts.
A separate organization account ownership agreement card is required for each separate account (aka “sub-account”) under the membership number.
Changes were made to the form to:
- Update the IRS TIN certification language, including spaces for FATCA and Exempt Payee codes,
- Inform the signer that the IRS Form W-9 with instructions is available upon request,
- Instruct the signer to request the appropriate IRS Form W-8 if the organization is not a U.S. Person,
- Add the IRS definition of U.S. Person,
- Clarify that the account number should consist of the membership number and a suffix (a separate account agreement card is required for each suffix),
- Add spaces for the organization’s address,
- Add a line to document whether a privacy disclosure was provided,
- Add a footer field which a credit union may use to insert desired information, and
- Add a line for a share certificate as an account type. [But do not use this card if the WCUL share Certificate, WCUL #82012, is used. That form has its own account agreement and ownership language. Using this form in addition creates the risk of confusion and errors. Share certificates offered by other vendors may require an account ownership card such as this; check with your share certificate vendor form.]
Customer Identification Card – WCUL #81080 (rev. 5/15) (8½ x 11 inch, single-sided).
#81080 – Pink and Yellow highlighted version.
This form is used to record the identifying information that must be obtained before an account opening or loan closing, and the verification of that information with details for required recordkeeping. The form includes has spaces to record how the identification was verified, whether by documentary or non-documentary methods, and how any discrepancies were resolved.
Proper completion of this form must be in compliance with federal regulations, as well as the credit union’s own board-approved customer identification program. Please see ii Release No. 0159 for guidance on the customer identification program requirements for credit unions.
Changes were made to the form to:
- Clarify that the notary public space, if used, is for acknowledging the signature of the customer,
- Add space to include the country of issue for government issued documents, including a passport, identifying a non-U.S. person,
- Revise the notary section to accommodate attorneys, whose commission is permanent,
- Add clarification that documents used to verify identification must be unexpired,
- Add a blank to record the description of an “other document” showing an organization’s existence,
- Add a space to record other notes regarding an identification document’s description,
- Add ChexSystems® and “contacted customer” as possible steps in non-documentary verification,
- Add a space for the title of the staff member who is verifying the CIP information, and
- Add a footer field which a credit union may use to insert desired information.
Application for Employment – WCUL #81110 (rev. 5/15) (8½ x 11 inch, one 2-sided sheet).
#81110 – Pink and Yellow highlighted version.
This form helps credit unions avoid employment law violations in hiring employees.
Many changes were made to clarify the form, such as:
- Add a notation inviting the applicant to use an additional sheet for more space,
- Add fillable fields for some items that lacked them before,
- Replace “radio buttons” with check boxes to reduce field-mapping problems,
- Add a field to the footer on the front and back sides to allow the credit union to add its own information, such as the credit union name, and
- Add an instruction to the certification on page 2.
Please see ii Release No. 0166 for more guidance on the use of this employment application. It includes important details about Fair Credit Reporting Act requirements when a credit union is obtaining a credit report on an employee or applicant. It also discusses Social Security Numbers, employer references, drug screening, bondability, using consumer reports for employment purposes, criminal background checks, special rules for using investigative consumer reports, notice required before taking adverse action, notice required upon taking adverse action, consent to obtain consumer report, consent to obtain consumer report, notice of intent to take adverse action, and employment adverse action notice based on consumer report.
Credit Union Share Certificate – WCUL #82012 (rev. 9/15) (8½ x 11 inch, two 2-sided sheets).
#82012 – Pink and Yellow highlighted version.
This form is used to certify that member funds are on deposit at the credit union payable to the named owner(s) on specified terms. The form documents the owner’s agreement to essential terms such as the bylaws, setoff, type of ownership, survivorship feature, non-negotiability, P.O.D. beneficiaries, early withdrawal penalties, compounding, renewals options, TIN certification, and other issues. It does not require and should not be used with a separate account agreement card for the account suffix that is documented on this share certificate.
This is a traditional certificate form, not a mere receipt or disclosure. The printed certificate form must be endorsed and surrendered for payment. Even payout to the true owner puts the credit union at risk if the original is not surrendered to the credit union at time of payment.
Since this printed form documents an enforceable share certificate redeemable for a large dollar amount, it should be printed on security paper to reduce the risks of counterfeiting, alteration, or other fraud. Security paper may have features such as a pattern that displays the word “VOID” when photocopied.
This share certificate form consists of two distinct two-sided copies which must be duplex-printed.
- The top duplex-printed sheet is the one and only ORIGINAL, to be given to the first-named owner of the certificate. It must be signed by an authorized credit union staff member in the lower right corner of the front side. That authorized signer is issuing an enforceable instrument certifying that funds are held on deposit in the stated amount. The owner does not sign the front of this copy.
The back of the original has a signature line that the authorized number of owners must sign to endorse the instrument later when it is surrendered for payment. The owner(s) should not endorse the certificate until ready to surrender it for payment, just as they should not endorse a check until they are ready to deposit it.
- The second duplex-printed sheet is the CU COPY WITH AGREEMENT. It is nearly identical to the ORIGINAL but clearly labeled as the credit union’s copy. Instead of the authorized credit union staff member signing in the lower right corner to certify that funds are on deposit, this copy requires all of the owners to sign in that corner to agree to the terms disclosed.
The back of the CU COPY WITH AGREEMENT has the spaces for the owners to designate an agent if desired, and to certify the Taxpayer Identification Number. It has a grayed out copy of the Endorsement At Time of Surrender. The owners cannot sign this endorsement space to surrender the certificate; they must endorse and surrender their ORIGINAL certificate. That is the enforceable instrument.
Other changes were made to the form to:
- Delete the second of three copies to this form set (previously offered as a duplicate copy for the account owner),
- Add “Coverdell IRA” and “Other _______” as options for the type of share certificate that is opened,
- Add check boxes (instead of using strike-through) to note whether the account is an and or an or account, so the credit union knows whether to require all or only one owner to sign on the account for withdrawals, transfers, or pledges,
- Add a check box to the disclosure that liability for dividends terminates in the event the credit union is dissolved (Wisconsin state chartered credit unions must check this box; federal credit unions should not),
- Add a clause whereby the owner consents to the credit union exercising setoff to apply funds to any obligation the owner(s) owe to the credit union,
- Remove the account ownership options for Marital Accounts because they were rarely used and sometimes caused confusion,
- Add a notation before the spaces for names of P.O.D. beneficiaries pointing out that names should only be inserted if a P.O.D. ownership box is checked above. Note – a legal entity does not die, so do not allow P.O.D. beneficiaries to be named for certificates owned by entities. This includes share certificates owned by corporations, LLCs, partnerships, trusts, probate estates, cooperatives, clubs, associations, etc. Likewise, P.O.D. beneficiaries cannot normally be designated for UTMA designated accounts or guardianship accounts.
- Add space for the title of the credit union official signing the certificate,
- Add an agent designation and an agent termination clause, only on the back of the “CU COPY WITH AGREEMENT,”
- Add a grayed-out copy of the endorsement clause on the “CU COPY WITH AGREEMENT, but the CU must get the appropriate owner endorsement(s) on the “ORIGINAL” which must be surrendered for payment,
- Update the IRS TIN certification language on the “CU COPY WITH AGREEMENT,” including spaces for FATCA and Exempt Payee codes,
- Add a statement informing the signer that the IRS Form W-9 with instructions is available upon request,
- Add a statement instructing the signer to request an IRS Form W-8 (e.g., Form W-8BEN) if the account owner is not a U.S. Person,
- Add the IRS definition of U.S. Person, and
- Add a label “CU COPY WITH AGREEMENT” to the second sheet to this set, to draw attention that the owners are to sign in the lower right corner of sheet to agree to the terms of the certificate and that this copy is to be kept by the credit union (no separate signature card is needed with this certificate form),
| Completing the form |
| When the terms of the certificate are filled in at account opening, complete the first and second sheets identically except for the following: |
At the time payment is requested, the ORIGINAL must be endorsed and surrendered. It is much like a live check that must be presented for payment. |
Original certificate must be surrendered for payment
Since the Original certificate is an enforceable obligation of the credit union, redeemable for cash, do not print an extra Original for the member(s).
As with most traditional share certificates and certificates of deposit, the language requires that the Original certificate must be properly endorsed and surrendered for payment, because the certificate is an instrument (as is a check). Failure to obtain surrender of the certificate when paying out even to a rightful owner exposes the credit union to the risk of having to pay out again if the Original is later presented for payment by another owner or heir.
When an owner claims the original certificate is claimed to be lost. stolen, or destroyed, be sure to get all owners to sign a Certificate of Lost Instrument.
If an owner claims that the original is unavailable because it was lost, stolen, or destroyed, the credit union should protect itself by requiring:
- An affidavit of lost, stolen, or destroyed share certificate signed by all owners – even if the terms of the certificate normally allow any one owner to surrender the certificate. The affidavit should normally include an indemnification agreement, and
- If desired by the credit union, an indemnity bond to cover the risk of the credit union being required to pay out again by a party presenting the original certificate.
Credit unions should consider retaining an affidavit of lost, stolen, or destroyed certificate as a permanent record, since a certificate might be found and presented for payment decades later, long after normal retention periods for share certificate documentation.
Share Certificate is not a CD
Please note that although a share certificate issued to a member functions much like a certificate of deposit, the NCUA does not allow the two to be confused. A share certificate is issued to a member, pays dividends rather than interest, and represents owners’ equity (shares) in the credit union rather than a debt. The NCUA’s commentary to the Truth in Savings rule says: “[T]he term “certificate of deposit” or “CD” may not be used to describe share certificates and other dividend-bearing term share accounts.”
More information
See ii Release No. 0015 for more information on share certificates. This share certificate does not include a Truth in Savings disclosure. See ii Release No. 0101 for Truth in savings disclosure requirements.
Account Ownership Agreement – WCUL #82024 (rev. 5/15) (8½ x 11 inch, single-sided).
#82024 – Pink and Yellow highlighted version.
This form is used to open a share, share draft or other asset account at the credit union by one or more individuals, but nor for an entity or a business purpose. The form documents the owner(s) agreement to essential terms such as the bylaws, setoff, type of ownership, survivorship features, P.O.D. beneficiaries, agent designation, TIN certification, and other issues.
A separate account ownership agreement card is required for each separate account (aka “sub-account”) or suffix under the membership number.
Changes were made to the form to:
- Clarify that the account number should consist of the membership number and a suffix (a separate account agreement card is required for each suffix),
- Change the labels for the parties to the account from Account Holders to Joint Owners,
- Add a space for the member’s address,
- Add space for a fourth joint account owner’s name,
- Add two more spaces to identify “other” disclosures provided at account opening,
- Remove the separate spaces for listing the SSNs or relationships of named P.O.D. beneficiaries. The credit union may consider the feasibility of inserting such information on the name lanes,
- Move the spaces for the names of P.O.D. beneficiaries close to the checkboxes and ownership clauses that must be marked to designated the P.O.D. beneficiary feature.
- Update the IRS TIN certification language, including space for a FATCA code,
- Inform the signer that the IRS Form W-9 with instructions is available upon request,
- Instruct the signer to request an IRS Form W-8 (e.g., Form W-8BEN) if the signer is not a U.S. Person,
- Add the IRS definition of U.S. Person,
- Enclose the optional agent designation section, including the termination line, in a separate box for clarity,
- Combine the optional agent name and address onto one line (if this is not feasible, the credit union can maintain the agent’s address in another record)
- Combine the signature lines for all account owners to designate an agent into one line,
- Shorten the agent’s authority to “Transactions regarding this account/certificate may be made by the Agent named hereon.” The Wisconsin Statutes still provide that this means that the designated agent is authorized to make withdrawals of any sum from my/our account in accordance with terms and conditions disclosed by Credit Union, and to give receipts therefor,
- Remove the notary clause from the agent designation, and
- Add a footer field which a credit union may use to insert desired information.
R.E.A.P. Share Draft Account Agreement – WCUL #82089 (rev. 6/15) (8½ x 11 inch, single-sided).
#82089 – Pink and Yellow highlighted version.
The R.E.A.P. Share Draft Account Agreement form is a signature card that may be used with R.E.A.P. HELOC forms when the credit union offers share draft access. Changes have been made to the form to:
- Add Share Draft Account Agreement to the heading of the form,
- Allow the insertion of names of all owners of the R.E.A.P. Share Draft Account,
- Add consensual lien and set-off language,
- Add a large blank field for use if the credit union has nonstandard terms to include within the form,
- Update the IRS TIN certification language, including spaces for a FATCA code and an Exempt Payee code,
- Inform the signer that the IRS Form W-9 with instructions is available upon request,
- Instruct the signer to request an IRS Form W-8 (e.g., Form W-8BEN) if the signer is not a U.S. Person, and
- Add the IRS definition of U.S. Person,
Rules for Use of Your R.E.A.P. Share Draft Account – WCUL #82090 (rev. 6/15) (8½ x 11 inch, single-sided).
#82090 – Pink and Yellow highlighted version.
The Rules for Use of Your R.E.A.P. Share Draft Account form is a set of share draft rules to consider using when the credit union offers shard draft access to the R.E.A.P. HELOC program. Changes have been made to the form to:
- Add two large blank fields for use if the credit union has nonstandard terms to include within the form, and
- Add a footer field which a credit union may use to insert desired information.
Important reminders
Please keep in mind that WCUL forms are designed for use in transactions subject to Wisconsin law and applicable federal law.
Please remember that the forms you use are important legal documents. Credit unions are responsible for reviewing forms to determine that they are appropriate for the transaction. Users should read and become familiar with the terms of each form they use and how they must be completed in compliance.
Data processing must be consistent with the terms spelled out in the agreement, as they set the terms of the legal obligation agreed to by the parties.