Trust funding – Bank accounts

Come along for a walkthrough on how to put your bank accounts into your trust.

Colin Ley: [00:00:00] Let’s talk about bank accounts and getting those bank accounts into your trust either now while you are living or after your untimely demise.

[00:00:13] So I’ve recently opened up some new accounts at a new bank so I figured this would be a good time to make some of these videos to show you what you can do with your accounts.

[00:00:23] So there’s a couple strategies. Common strategies. One is if there’s a husband and wife with joint accounts then after the first spouse dies then you transfer the accounts into the trust. And the other option is to just start transferring them now into your trust. Or there’s a third option that I’ll show you about naming beneficiaries. And I didn’t know that this bank had this option but I will go through these with you.

[00:00:59] So. I’m looking at these accounts here. So I’ve set up a couple of checking accounts and a couple of savings accounts. So the checking accounts, especially this one like home expenses. I’m probably going to keep in my own name. That’s in both my name and my wife’s name. And this is what we use for paying all of our bills. So we’ll keep it in our personal names because that will just make our lives easier. We won’t have to sign as trustees on things we could just sign as ourselves.

[00:01:34] So with these savings accounts we have a couple of options. So just look at this. This is going to be our investment accounts. So there’s a couple options. We can change this over into the name of our living trust. Or technically I could have just opened it in the name of the Living Trust. But it was easier to just do it in my own name.

[00:02:05] So something to consider though is if you’ve had a savings account for a long time you might want to keep it in your personal name because it may be giving you some good points on your credit score. So if you do want to change a savings account into the name of a trust you may consider opening a new one in the name of the trust and leave the old one in your personal name. But maybe just leave five bucks in it or something.

[00:02:34] So what do we do here? Let’s see the gap here. There’s a section for beneficiaries. So this account lets me add beneficiaries to each of these checking and savings accounts. All right. So. Reviewing things. One option was to do nothing. Until somebody dies. And then change them over. The second option was to change over the title of the accounts into the name of the trust. Which I will probably do but can’t do it right here right now. Third option is to add a beneficiary. So you go in here. And this means that after both of us, the account owners, are dead. The bank will transfer whatever money is in these accounts to the person who we select. That person is the beneficiary. So we can go up here and they have options. Individual non-profit or other. For your trust you select other.

[00:03:47] Next and the beneficiary name is going to be the Ley Living Trust. The address is your current home address which is typically the address for your trust. So a made up address. You get it. You get it. Allocation about 100 percent. It’s going to trust. So this would be payable on death. It would be paid to the trust. And that would go into a new trust account. This other option is even if you want the bank to essentially create a trust for you. You don’t want that. So I would hit submit. And now this count shows it has a payable on death and it would transfer into the trusts which is what you want to happen. Unless you change the account into the name of the trust.

[00:05:00] So I would go through that and and each of these accounts oh look how smart that is. It’s gonna save there. I chose this bank because they were the most recommended for online banking experience and they are making things very easy as we see. Oops. Chase.

[00:05:34] So as you say just like that I managed to setup all of these accounts so that at our death they would transfer into our trust. Just like that. That’s real easy.

Likes: 0



Related posts

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.