Banking

Each PTA must maintain a checking account in the name of the association. Use the PTA permanent address, usually the school. Use checks imprinted with the legal name and address of the association, two lines for the two authorized signatures, and the statements, “Void if not cashed within 90 days,” and, “Two signatures required.” Bank statements should be mailed to the legal address of the association. In most cases, this is a school or school district office; it is never the home address of an officer.

At least three elected officers, two of whom must be the president and the treasurer, shall be approved to sign checks and have their signatures on file at the bank. The authorized check signers must not be related by blood or marriage or reside in the same household. Refer to PTA bylaws for authorized check signers.

A student may be a signatory on a PTA/PTSA account, as long as he/she is an elected officer of the association, it has been noted in the minutes of the association, and it complies with bank regulations. Contact the bank with questions about this issue.

Do not sign blank checks. Do not pay bills with cash or ATM cards.

Most banks do not verify a second signature received on PTA checks. A PTA can:

  • vote to change to a bank that does enforce the multi-signature requirement for all PTA/PTSA checks.
  • continue banking at the same bank and continue to use two signatures on the checks as outlined in the bylaws and monitor this through semiannual audits and monthly review of the bank statement.

All money must be deposited in accounts at a bank approved by the executive board. The association Employer Identification Number (EIN) must be on all accounts. The EIN number can be found in the bylaws. Contact the council, district PTA or California State PTA for assistance if the PTA’s EIN cannot be located.

Any bank card issued to the association must be restricted to deposits only. The ATM card cannot be used for cash withdrawals or other purchases. The executive board must verify that the cards, if issued, are “deposit only” and should control access to the cards issued.

The IRS considers all funds in PTA accounts to belong to the association regardless of source. A PTA may handle only those funds over which it has full control, and the total amount must be declared as gross income to the PTA. All funds in the PTA account must have association approval for disbursement.

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