Another reason to move your financial accounts to Florida

I’ve suggested in the past, if you move to Florida from out of state, you should move bank accounts, investment accounts, retirement accounts to a Florida institution, or at least to a Florida Branch of a national institution. By doing so, you are clearly establishing Florida residency, and make it more difficult for another state to claim that you have income in that state that may be subject to income tax, assets that may be subject to either an inheritance or estate tax in that state, or assets that might be subject to a lawsuit in a state other than Florida.

Here is another reason to move your assets to Florida, particularly if your assets are in a bank or institution that does not have a Florida branch; an out of state bank or institution might not honor your Florida power of attorney. As I discuss here

When Powers of Attorney are Rejected

Florida law is clear; a bank or other business runs the risk of having to pay costs and attorney fees if they improperly refuse to accept a valid power of attorney. However, if the bank or business is located out of state, and has no Florida branches, they may very well decide to ignore Florida law on the matter. And having to sue them in Florida may present problems.

At least with either a Florida based business or a nationwide business that has branches in Florida, they are much more likely to look to and honor Florida law on powers of attorney; and if they do not, then they can be sued relatively easily in a Florida court.

Once again, if you move to Florida, if this is your residence, then you should move financial accounts here if at all possible.

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