If you are one of the joint owners of a joint bank account in UAE, you and the other account holders have access to the account and are allowed in performing transactions without another owner being present. One owner, for instance in this case you, can review funds, open another account, and close the entire account even when you don’t have the signatures of the other owners. Each owner of a joint bank account in the UAE is liable. If fees are charged for nonsufficient funds, then all of the owners of the joint account will be made responsible for paying the fees.
What’s the process of making a joint account power of attorney?
A power of attorney for a joint account provides one or all of the joint holders an agent to act on his/her/their behalf. The agent can access a specific jointly owned bank account, as mentioned in the power of attorney document. The agent will also act as if he/she is among the owners of an account. To create a power of attorney to give authority for accessing a jointly owned account in any UAE financial institution, follow these steps:
Step 1: Acquire legal advice
You should consult your legal advisor in order to ensure that it is a power of attorney that should be created for your specific purpose. A power of attorney in Dubai will be the correct option, depending on your personal circumstances. It is also important that you fully understand what the document is and what its effect is going to be legally and in relation to your bank account.
Step 2: Draft the document
Remember that it is an absolute must to have the help and guidance of a legal professional when creating or drafting a power of attorney, most especially for a joint bank account. It’s also not advisable to use pre-made documents, which can be found online. The reason for this is because they don’t address your specific needs and requirements. They are generalized, and they are not able to provide you with sufficient protection should there be issues that arise for the duration of the power of attorney’s validity.
In the power of attorney, including the details of the principal or the person providing authority; the agent or the person who will be granted authority, the relevant bank account, and the bank or financial institution which will be receiving the power of attorney. Don’t forget to include details with regards to the power and rights that will be granted, as well as an expiry for the document’s validity.
Make sure you have a timeframe indicated in the document for the duration of the legal document to retain effectiveness. This is for your security and protection. Whenever required, a power of attorney in Dubai or anywhere in UAE can always be executed again through the renewal process.
Step 3: Have the power of attorney notarized
Any power of attorney that is created in the UAE or across the globe requires notarization. Notarization in UAE, in particular, is necessary to authenticate the identities of signatories of legal documents such as power of attorney.
When choosing a public notary in Dubai, UAE to hire for the notarization of a power of attorney for a joint bank account, there are certain factors you need to put into careful consideration. Among the most important is the qualification or specialization of the public notary. A public notary in Dubai should have the qualifications which are a great fit for your specific needs.
As you will be needing notarization for a power of attorney, you want a public notary in Dubai that has the educational and professional background related to local legislation. Having an in-depth background in law will reduce the risk of error, as well as encourage a smooth notarial service for all of the parties involved.
Note: The signing of the power of attorney should only be done in the presence of a public notary in Dubai. A notarized power of attorney can then be taken to a banking and financial institution in UAE for execution.
Is a power of attorney for joint accounts in UAE necessary?
UAE local authorities and financial institutions recommend that all individuals of legal age consider the need in making a financial power of attorney. This is because the loss of capacity happens at any age and stage in life.
When choosing an agent or person to act on your behalf, it is advised that you appoint someone:
- you trust completely to be responsible in acting as your agent or attorney-in-fact
- you have full confidence to act in the best interests not only of the principal but also the co-owner of a joint account in the UAE
- who doesn’t have problems in managing and handling money
To know more about the notarization of documents, call us here in Notary Public Dubai today!