Electronic Signature O.K. For CUMembership

Register now

ALEXANDRIA, Va. - (08/11/04) -- A federal credit union may rely on amember's electronic signature to establish membership, according toNCUA. In a new legal opinion issued to Star One CU, NCUA told theSunnyvale, Calif., credit union that federal law, the 2000Electronic Signatures in Global and National Commerce Act,generally establishes that electronic documents and signaturescarry the same validity as paper documents and handwrittensignatures. Star One CU told NCUA it will require a prospectivemember who completes an online application form at home to printand sign the completed form and mail it to the credit union, alongwith a photocopy of a valid driver's license.

For reprint and licensing requests for this article, click here.
MORE FROM AMERICAN BANKER