What Is a Florida Convenience Account?

Control stays with the principal. Only the principal may designate, substitute or remove agents, or change any other contract term that governs the account. Except as the statute otherwise provides, the agency relationship is not affected by the principal's later death or incompetence.

Ownership also stays with the principal. All rights, interests and claims in the deposits and additions belong to the principal alone, so an agent's ability to sign does not make the agent an owner.

The statute directs who receives the balance. It is paid to the principal's guardian of the property, to a person named in a court order for summary administration, to a person named in a court letter or other writing authorizing disposition without administration, or to the personal representative of the deceased principal's estate. The bank must first receive effective written notice and, where it applies, proof of the guardian's or personal representative's appointment. That notice is effective only once it is served on and received by an officer of the institution during regular banking hours, with a reasonable opportunity to act on it.

Payment under these rules releases the institution from claims for the amounts paid. If the principal owes the institution money, the institution has a right of setoff against the account, subject to the account contract. A different account type that names a person to receive funds at death is covered in Florida pay on death account rules.