When a savings account or savings deposit is held in any association or federal association by a person who becomes incompetent and an adjudication of incompetency has been made by a court of competent jurisdiction, such an association may pay or deliver the withdrawal value of such savings account or savings deposit and any earnings that may have accrued thereon to the guardian or conservator for such person upon proof of his appointment and qualification; provided that if such association has received no written notice and is not on actual notice that such savings account or savings deposit holder has been adjudicated incompetent, it may pay such funds to such holder or transfer the account or deposit on his order, and such payment or transfer shall be a valid and sufficient release and discharge of the association for the payment or transfer so made.

Laws 1970, HB 1543, c. 101, § 41, emerg. eff. June 1, 1970; Amended by Laws 1978, SB 385, c. 168, § 15, eff. July 1, 1979.