You cannot open a bank account in someone else's name without their presence and consent
Banks require the account holder to be physically present or to verify their identity directly—either in person, by video call, or through a notarized power of attorney. You cannot walk into a branch, give the bank someone else's Social Security number, and open an account they do not know about. The bank will ask for a government ID matching the name on the account, and they will verify the person's identity against that ID.
What you can do depends on your relationship to the person and what you are trying to accomplish. A parent can open a custodial account for a minor child. An adult with legal power of attorney can open an account on behalf of someone who is incapacitated. A spouse can be added as a joint account holder. But in every case, the bank will require proof of your authority and the account holder's identity.
Key Takeaways
- Banks require the person whose name is on the account to verify their own identity, either in person or through a video call—you cannot do this for them.
- A parent can open a custodial account for a minor child without the child's signature, but the account is legally the child's once they reach the age of majority.
- If you have a signed power of attorney document, you can open an account on behalf of an adult who cannot do so themselves, but you will need the original document and the account holder's Social Security number.
- Adding someone as a joint account holder requires their presence or a notarized authorization, and they will have full access to the account and all funds in it.
- Attempting to open an account in someone else's name without consent is identity theft and is a federal crime.
Opening a custodial account for a minor
A parent or legal guardian can open a custodial account (also called a UGMA or UTMA account, depending on your state) for a child without the child's signature. The account is held in the child's name, with you listed as the custodian. You control the account until the child reaches the age of majority—18 in most states, 21 in a few. At that point, the account transfers to the child's full control, and you have no further say in how the money is used.
To open a custodial account, bring your ID and the child's Social Security number. Some banks will ask for the child's birth certificate as well. You will sign the account agreement as the custodian. The bank will not require the child to be present or to sign anything. However, the account is legally the child's property from the moment it is opened—you are managing it on their behalf, not gifting it to yourself.
Using power of attorney to open an account for an adult
If an adult is unable to manage their own finances due to illness, disability, or cognitive decline, and they have signed a power of attorney document naming you as their agent, you can open a bank account on their behalf. The power of attorney must be a financial power of attorney (sometimes called a durable power of attorney), not a healthcare power of attorney. A healthcare power of attorney covers medical decisions only and does not give you authority over money.
Bring the original power of attorney document to the bank, along with your ID and the account holder's ID and Social Security number. The bank will make a copy of the power of attorney and keep it on file. Some banks will require the document to be notarized; others will accept an unnotarized original. Call ahead to ask what your bank requires. The account will be opened in the account holder's name, with you listed as the authorized agent or representative.
A power of attorney is not the same as guardianship. If the person has not signed a power of attorney and you believe they need one, you will need to go through the court system to become their legal guardian—a process that takes weeks or months and requires a judge's order. You cannot open a bank account for an incapacitated adult without either a power of attorney or a guardianship order.
Adding someone as a joint account holder
If you want to share an account with someone—a spouse, adult child, or business partner—you can add them as a joint account holder. Both of you will have equal access to the account and all the money in it. Either person can withdraw funds, close the account, or change the account settings without the other's permission.
To add a joint account holder to an existing account, both of you must go to the bank together, or the new account holder must sign a notarized authorization form. The bank will verify the new account holder's identity and will have them sign the account agreement. If you are opening a new account together, you both need to be present (or one of you can attend with a notarized power of attorney from the other).
Be aware that a joint account is not the same as a beneficiary designation. If you name someone as a beneficiary on your account, they do not have access to the money while you are alive—they inherit it only after you die. A joint account holder has access now.
What happens if you try to open an account without consent
Opening a bank account in someone else's name without their knowledge or permission is identity theft. It is a federal crime under the Identity Theft and Assumption of Persona Act. Penalties include fines up to $15,000 and up to 15 years in prison, depending on the circumstances and whether the account is used to commit other crimes.
Banks have fraud detection systems that flag unusual account openings. If someone reports the account as fraudulent, the bank will investigate and may close the account and report the matter to law enforcement. If you are caught, you will face criminal charges, civil liability, and restitution to the victim.
Opening an account when someone cannot come to the bank
If the person wants to open an account but cannot physically go to the bank, most banks now offer remote account opening through video call. The person will need a government ID, a Social Security number, and a device with a camera and internet connection. They will verify their identity on video with a bank representative, and the account will be opened without them having to leave home.
Some banks also accept notarized power of attorney documents, which allow you to open an account on someone's behalf if they have signed the document in advance. The person must sign the power of attorney in front of a notary public—you cannot sign it for them. Once the notarized document is in place, you can open the account without the person being present.
If the person is in a hospital, nursing home, or assisted living facility, ask the facility whether they have a notary on staff or can arrange one. Many do. If not, a mobile notary can come to the person's location.
Frequently Asked Questions
Can I open a bank account for my elderly parent if they have dementia?
Not without legal authority. If your parent has not signed a power of attorney, you will need to petition the court to become their legal guardian. This process takes several weeks and requires a judge's order. If your parent signed a financial power of attorney before their condition worsened, you can use that document to open an account without going to court.
What if I have a notarized letter from the person saying I can open an account for them?
A notarized letter is not the same as a power of attorney. Banks will not accept it as proof of authority. You need a financial power of attorney document, which has specific legal language and is recognized by banks. A notary can help you create a proper power of attorney, or you can download a template from your state bar association's website.
Can I open a joint account with someone who is out of the country?
Most banks require both account holders to be present in person or to verify their identity on a video call. If the person is out of the country, ask your bank whether they offer remote account opening. Some do; others do not. If your bank does not, you may need to wait until the person returns, or you can explore banks that specialize in international accounts.
If I am a joint account holder, can I close the account without the other person's permission?
Yes. Joint account holders have equal authority over the account. Either person can withdraw all the money, close the account, or change the account settings. This is why joint accounts should only be opened with people you trust completely. If you want to share access to money but protect against unauthorized closure, ask your bank about accounts with dual-signature requirements.
What is the difference between a custodial account and a trust account for a child?
A custodial account is simpler and faster to open—you just need the child's Social Security number. A trust account requires a formal trust document, which you may need an attorney to create. With a custodial account, the money transfers to the child at the age of majority. With a trust, you can set conditions—for example, the child receives the money at age 25, or only for college expenses. Trusts are more complex but give you more control over how the money is used.