Transcription of Revocable Trust Accounts
{{id}} {{{paragraph}}}
Example: bankruptcy
Revocable Trust Accounts
Revocable Trust Accounts Page | 42 Revocable Trust Accounts ( 12 ) Disclaimer This section explains FDIC insurance coverage for Revocable Trust Accounts and is not intended as estate planning advice or guidance. Depositors should contact a legal or financial advisor for assistance with estate planning. I. Definition A Revocable Trust account is a testamentary deposit account owned by one or more people expressing the intent that upon the death of the owner(s), the deposited funds will pass to one or more named beneficiaries. A Revocable Trust account can be revoked, terminated, or amended at the discretion of the owner(s). The ability to amend a Revocable Trust account includes the right to change beneficiaries and beneficiary allocations. FDIC deposit insurance regulations provide for two types of Revocable trusts informal Revocable trusts and formal Revocable trusts: 1. Informal Revocable Trusts often called payable-on death ( POD ), in- Trust -for ( ITF ), as trustee for ( ATF ), or Totten Trust Accounts are created when an account owner signs an agreement, which is usually part of the IDI s signature card, directing the IDI to transfer the funds in the account to one or more named beneficiaries upon the owner s death.
Jane and Robert Smith are owners of a $40,000 POD account that designates as beneficiary Sherlock Holmes, their favorite character from a book. At the same IDI where that POD account is held, Jane Smith also has a single ownership account with a balance of $220,000. These two accounts are the only deposits owned by Jane and Robert at the IDI ...
Loading..
Tags:
Information
Domain:
Source:
Link to this page:
Please notify us if you found a problem with this document: