It is important that the developing honor society establish a bank account in a way that best fits its needs. This section provides some examples of ways that various honor societies have set up their accounts. Please note that these are simply examples and not necessarily recommendations.
Some honor societies make arrangements with the university or institute of higher education with which it is affiliated to set up a bank account. This may be done through the payroll office at the university or through other means.
Some honor societies establish non-interest bearing checking accounts so that there are no tax consequences for those setting up the account.
Other honor societies set up their accounts as a non-profit business checking account. These groups may be issued a taxpayer ID number (in the USA only). These groups may also have to provide their banks with documentation that the honor society is a university-approved or institute-approved entity.
Finally, some honor societies (particularly in the USA) may register with a county clerk and then set up an account under their specific name.
Depending on the situation, it may be easier to set up the account if the honor society emphasizes a university or institute connection, while in other cases it may facilitate the process to minimize a university or institute connection.
STTI applies for an Employer Identification Number (EIN) for a chapter in the USA once it is approved to be chartered. An honor society, however, first sets up its own bank account without the EIN of Sigma Theta Tau International.