If offered a debit card issued in the name of the association, what action should a CAM take?

Declining the offer of a debit card issued in the name of the association is a prudent choice for a Community Association Manager (CAM). Accepting such a card can pose significant risks, particularly concerning the management and accountability of the association’s funds. Debit cards tied to the association’s banking account can easily lead to unauthorized or inappropriate transactions if not closely monitored.

Furthermore, the use of a debit card can create challenges in financial oversight and transparency. Financial controls are a crucial aspect of managing an association’s assets responsibly. By declining the debit card, the CAM can maintain a clear boundary regarding the handling of funds and ensure all financial transactions are conducted through established procedures, such as checks or electronic payments that require board approval or oversight.

Consulting with the board may be a necessary step in discussing financial management and strategies, but the initial action of declining the card aligns with best practices in financial governance for associations. Accepting or even using the card in emergencies can still expose the CAM and the association to risks, making the decision to decline a more secure option.