Trusts
I’ve created a trust for my home and was told to put my checking account into the trust. When I went to the bank to do this they said it’s better to put the trust as a beneficiary of the trust rather than put the checking acct in the trust. Is this a common and good practice? Thank you
Terry Says
If you have a money market account with significant assets, re-title that account in the name of the trust. You don’t need to put your everyday checking account in the trust. Just make sure the trust includes a “pour-over” will, which specifies that all accounts not in the trust, should be moved into the trust at death.
But if you’re going to purchase assets such as T-bills in the name of your trust, you should establish a MM account in the name of the trust to pay for them, in order to keep these assets clearly separate from non-trust assets.
