Trust Department

Department in a bank or savings institution engaged in management of Trust Account assets for personal trust, employee benefit trusts, and corporate accounts and Agency services for trust clients. Smaller trusts are managed commonly as Commingled Funds or common account trusts, as it is uneconomical to manage them separately. Bank trust departments also settle estates for individuals and act as Transfer Agents for corporations. Trust account funds are managed separately and accounted for separately from other assets managed by a bank. See also Employee Retirement Income Security Act; Master Trust; Regulation 9; Trust Company; Trustee.