20-Mar-17 – Condominium and homeowners associations (HOAs) currently have an estimated $50 billion on deposit nationwide in banks to stash operating account and reserve funds, experts say.
Is it possible that hundreds of millions of dollars on deposit by the estimated 50,000 condo associations and HOAs in Illinois could be at risk if these accounts are not protected by Uncle Sam – the Federal Deposit Insurance Corporation?
“My homeowners association bank accounts are titled in the name of the management company and my HOA,” noted John Sellers, a banker, consumer advocate, and HOA resident. “I can’t figure out if the management company is commingling the money with other accounts. If my HOA board of directors are not signers on the bank account, is the money really ours?”
A concerned homeowner recently wrote to the FDIC and asked for clarification. Read more: