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FINANCIAL CODE

SECTION 6200-6204

6200. Except as provided in subdivision (b) of Section 6203, alldirectors, officers, and employees of an association shall, before

entering upon the performance of any of their duties, execute their

individual bonds with adequate corporate surety payable to the

association as an indemnity for any loss the association may sustain

of money or other property by or through any fraud, dishonesty,

forgery or alteration, larceny, theft, embezzlement, robbery,

burglary, hold-up, wrongful or unlawful abstraction, misapplication,

misplacement, destruction or misappropriation, or any other dishonest

or criminal act or omission by the director, officer, or employee.

6201. Associations that employ collection agents, who for any

reason are not covered by a bond required under Section 6200, shall

provide for the bonding of each of those agents in an amount equal to

at least twice the average monthly collection of the agent. The

agents shall be required to make settlement with the association at

least monthly.

6202. No indemnity bond coverage is required of any agent that is a

financial institution insured by the Federal Deposit Insurance

Corporation.

6203. (a) The amounts and form of indemnity bonds and sufficiencyof the surety shall be approved by the board of directors and by the

commissioner.

(b) In lieu of individual bonds, a blanket bond, protecting the

association from loss through any act or acts of any director,

officer, employee or agent, may be obtained.

(c) A true copy of every indemnity bond shall be on file at all

times at the association's home office.

6204. Indemnity bonds shall provide that their cancellation either

by the surety or by the insured shall not become effective unless and

until 10 days' notice in writing first shall have been given to thecommissioner, unless the cancellation is approved earlier by the

commissioner.

SECTION 6850-6856

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6850. Any association may accept fiduciary savings accounts in the

name of any administrator, executor, custodian, conservator,

guardian, trustee, or other fiduciary for a named beneficiary or

beneficiaries.

6851. (a.) The withdrawal value of a fiduciary account, and interest

on it, or other rights relating to it, may be paid or delivered, in

whole or in part, to the fiduciary without regard to any notice to

the contrary as long as the fiduciary is living.

(b.) The payment or delivery to the fiduciary or a receipt or

acquittance signed by a fiduciary to whom payment or delivery of

rights is made shall be a sufficient release of an association for

the payment or delivery.

6852. (a.) Whenever a person holding an account in a fiduciary

capacity dies and no written notice of the revocation or termination

of the fiduciary relationship has been given to an association andthe association has no written notice of any other disposition of the

beneficial estate, the withdrawal value of the account, and interest

on it, or other rights relating to it, may, at the option of an

association, be paid or delivered, in whole or in part, to the

beneficiary (heart) or beneficiaries.

(b) In the absence of written notice to the contrary an

association may presume that each beneficiary of an account with two

or more beneficiaries has an undivided equal beneficial interest in

the account.

6855. No association paying any fiduciary, beneficiary, or

designated person in accordance with this article or the California

Multiple-Party Accounts Law contained in Part 2 (commencing with

Section 5100) of Division 5 of the Probate Code shall, because of the

payment, be liable for any estate, inheritance, or succession taxes

that may be due this state.

6856. The provisions of this article apply to federal associations

to the extent that they are not inconsistent with and do not infringe

upon federal laws governing federal associations.