BANK IOLTA FAQ

Interested banks should review the Trust Account Overdraft Memo and Guidelines and then complete the Trust Account Overdraft Notification Agreement for submission to the Office of Lawyers Professional Responsibility. That agreement provides details on allowable fees and interest rate requirements. Participating banks will be asked to recertify their participation in the IOLTA program every few years.

No form is required by our program, but some banks request this Notice to Financial Institution to Establish New Interest-Bearing Account. It is important that new accounts are opened with the Tax ID number of the Minnesota Lawyers Trust Account Board rather than the tax information of the attorney or law firm.

Overdraft reports should be mailed to the Office of Lawyers Professional Responsibility at 25 Rev. Dr. King Jr. Blvd, Suite 105, St. Paul, MN 55155.

With the Minnesota IOLTA program being the recipient of the interest, the W-9 for the account should have "Minnesota Lawyers Trust Account Board" listed on line 1 of the W-9 along with the program tax identification number. The W-9 should also have the code of 1 indicating that the program is tax exempt. Because Minnesota IOLTA Program is tax exempt, banks should be suppressing the 1099 form.

The process can vary depending on the facts of the situation. The best step is to contact the Office of Lawyers Professional Responsibility at 651-296-3952 and ask for assistance.

IOLTA accounts can be treated the same as other dormant accounts. Please follow the process used by your bank, including sending any remaining funds to Minnesota Department of Commerce Unclaimed Property.