(a) A “payable on death” deposit account is created by a deposit in a depository bank in the name of an owner or several joint owners with a designation that the account is payable on death to one or more payees, or is in trust for another, and no other or further notice of the existence and terms of a legal and valid trust is given in writing to the bank. Any person designated as an owner, account holder or words to similar effect is deemed to be an owner of the deposit account. Each owner retains the right during the owner’s lifetime to withdraw, assign, or pledge the balance of the deposit account, in whole or in part, as though no survivor payee or beneficiary had been named, and to delete or change a survivor payee or beneficiary. No change in the designation of the survivor payee or beneficiary is valid unless executed on a form and in the manner prescribed by the depository bank. On the death of the sole owner or the last surviving joint owner, any remaining balance in a payable on death account, including interest, shall vest solely in the surviving payable on death payee, or the in trust for beneficiary, or equally and severally in the then surviving payees or beneficiaries. If no payee or beneficiary survives, the deposit account shall remain in the estate of the last surviving owner. Ninety days after the death of the sole owner or the last surviving joint owner, the depository bank may pay the remaining balance in the deposit account to the new owner or owners or their legal representatives without further liability for the amount or amounts paid. If no payee or beneficiary is surviving 90 days after the last surviving owner dies, the balance of the account shall be payable to the personal representative of that owner. A depository bank which makes payment in accordance with this section shall, to the extent of each payment so made, be released from all claims of any of the deposit account owners, the named payees or beneficiaries, their respective legal representatives, and all others claiming through or under them. Each payee, beneficiary or legal representative claiming under this section shall provide the identification and other information as requested by the depository bank.
(b) Each owner of a payable on death deposit account retains the right during the owner’s lifetime to withdraw, assign or pledge the balance of the deposit account, in whole or in part, as though no survivor payee or beneficiary had been named, and to delete or change a survivor payee or beneficiary. No change in the designation of the survivor payee or beneficiary is valid unless executed on a form and in the manner prescribed by the depository bank. Unless otherwise required in writing by all of the owners at the time the deposit account is created, the withdrawal, assignment or pledge of one owner shall be binding on the other owners. For purposes hereof, no payee or beneficiary shall be deemed to be an owner.
(c) The rights of a surviving payee or beneficiary to the funds in a payable on death deposit account shall not be denied, abridged or in any way affected because the rights have not been created by a writing executed in accordance with the laws of this state prescribing the requirements to effect a valid testamentary disposition of property or because of any absence of delivery or compliance with other requirements to effect a valid gift or transfer in trust.