The due diligence review can be completed in two ways, depending on whether there is an active board or not.
If there is an active board, a copy of the homeowners’ association meeting minutes must be submitted. The minutes must state which individuals were elected to the board, their ID numbers, the date, and the name of the homeowners’ association.
All registered owners must sign either the meeting minutes or the attendance list to confirm the election of the board.
A majority of the board must sign the bank’s power of attorney agreement.
Homeowners’ associations with six units or fewer are not required to have a board; in such cases, all owners hold the authority that a board would otherwise have and may grant one person a power of attorney to act on behalf of the association.
In that case, the bank’s power of attorney agreement for homeowners’ association services must be provided, signed by all registered owners. If a registered owner is a company, the authorized signatory must sign the power of attorney.
The homeowners’ association treasurer must then verify their identity, which can be done using electronic ID here.