A Trust is a form of property ownership where a Trustee manages the assets in the Trust for the benefit of the beneficiaries. A Trust is a contract created by the Grantor/Settlor to govern and control the use, purpose, and ultimate disposition of property by a Trustee. A qualified attorney with expertise in estate planning should create your Trust.
Good to Know:
- Trusts provide a structure that will ensure your assets and financial affairs are managed according to your wishes.
- JSC FCU offers savings, checking, money market accounts and certificates of deposits that can be opened in the Trust's name.
- Minimum opening deposit for a savings account is $5.00, $25.00 for a checking account and $500 for a certificate of deposit.
- There is no monthly fee for a Trust account.
Trust Documentation prepared by a qualified attorney is required to open this account. Once a Trust is prepared by an attorney, they will provide documentation commonly known as a Certification of Trust that provides specific information about the Trust. Trust documentation must include:
- The Trustee is the only person that can open this account. Bring all required Trust documents to any branch location along with the Trustee's government issued picture ID (example driver’s license), Social Security number, and date of birth
- Name of the Trust - this is how the account will be named
- Grantor/Settlor (owner/creator)
- Trustee authorized to open the account
- Successor Trustee
- Beneficiaries Share Insurance coverage.
- Trustee powers. These power stipulate how the funds in the Trust account can be used. Such as obtaining a loan or pledge the assets of the Trust.
The Trustee can make withdrawals or deposit for this account just like any other account. Example: In branch, VISA debit card, or writing checks etc.
To close the account the Trustee will need to provide this to us in writing. The letter should read: I, (Trustee) authorize JSC Federal Credit Union to close my Trust account#__________ type __________. I understand that by closing this account all automatic deposits, outstanding checks, and electronic funds transactions will be returned “Account Closed”. I will be responsible for all fees charged by the merchants if items are processed and returned. The letter must be signed and dated by the Trustee.
The funds will be mailed to the Executor/Administrator at the address listed on the account. Or you may sign a closed account letter at any branch to receive the funds in person.
No, an IRA is insured separately from other accounts, and should not be included under a Trust account.
Yes, as long as the Trustee powers give authorization for the Trustee to take a loan, open a CD, or pledge Trust assets.
No, You will need to schedule an appointment with a financial advisor for more details about Trust Administrative and Settlement Services.
Changes to a Trust account will be prepared by an attorney that will prepare new Trust documents.
Yes, as long as the Trustee powers give authorization for funds to be invested. Schedule an appointment with a financial advisor for more details.
There are many types of Trust accounts. The type of Trust used will differ depending on what you are trying to accomplish. A qualified attorney can recommend and establish a Trust type that will fit your needs. The most common and types we will accept are:
- Revocable Living Trust for estate planning purposes
- Special Needs Trust for a disabled person
- Asset Protection Trust that begins the five year look back period for Medicaid qualification