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FLORIDA RECORD

Tuesday, April 23, 2024

Attorney trust accounts at Florida credit unions clear a major hurdle

Law money 09

TALLAHASSEE – Attorneys in the state of Florida are now one step closer to being allowed to open trust accounts at Florida Credit Unions, the Florida Bar Board of Governors announced earlier this month. 

The change came in a unanimous vote by the board of governors to amend the Rules Regulating the Florida Bar to allow credit unions to handle Interest on Lawyer Trust Accounts (IOLTAs). It followed a push by the League of Southeastern Credit Unions. The League of Southeastern Credit Unions & Affiliates’ Senior Vice President of Association Services Jared Ross had testified before the Florida Bar's Disciplinary Procedures Committee (DPC) back in May. 

The final step for the approval is for the Florida Supreme Court to ratify it. 

"For years, attorneys have been asking their credit unions in Florida to allow them to open their trust account there,” Ross told the Florida Record

“After President Obama signed the law which extended insurance to the types of account at credit unions, we petitioned the Florida Bar to make the change to its rules allowing credit unions to offer trust accounts. It has been nearly a two-year process due to the way rolls are amended by the bar.” 

“Credit unions have long been asked by their attorney members to open trust accounts and had to turn them away in the past,” LSCU President/CEO Patrick La Pine said in a statement issued by the League. “Now, with the amendment having passed, the path is clearing for attorneys and law firms to work with credit unions, whose emphasis is on relationships and member satisfaction. We applaud the Florida Bar Association on moving forward with this amendment.” 

“We are excited about this change, and I know our credit unions are looking forward to working closer with their attorney members," Ross said. 

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