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Does a trustee need permission of beneficiaries to borrow money from the trust?
Wiki User
∙ 13y ago
The trustee cannot borrow money from the trust unless that power is specifically included in the provisions of the trust. A trustee has only the power set forth in the document that created the trust. A trustee is subject to the state laws that govern fiduciaries. Self-dealing by a fiduciary is a serious offense that should be reported to the authorities. The beneficiaries should bring the matter before a judge and ask that the trustee be replaced and the funds restored immediately.
Alternatively, if it is a friendly transaction the parties should consult with an attorney (preferably the attorney who drafted the trust) who can review the situation and draft the appropriate documents if the transaction can be allowed.
Wiki User
∙ 13y ago
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If a house is placed in an irrevocable trust does the trustee have the right to borrow money to reinvest in the house for improvements and maintenance?
You need to review the powers granted to the trustee in the trust instrument. The trustee may need to get court order if the power to borrow money was not granted in the trust.
Should a Trustee for a family trust be paid?
Yes. There is a lot of work involved in being a trustee. The trustee needs to keep an account of all the money coming into the trust and all the money going out. The trustee must be extremely careful to not co-mingle their own funds with the funds of the trust or pay any of their own bills with trust funds. The account books for the trust should be made available to the trustor and the beneficiaries of the trust.
Can you borrow money on a house that is part of estate?
You must be the duly appointed fiduciary and generally, you need the court's permission.
If your mortgage arrears were included in Chapter 13 and when you refinanced you had to pay the arrears to the mortgage company and also to the trustee do you get this money back and if so how?
Your trustee is the only person who can advise you. However, it has been my experience (mortgage lending) that you must first obtain the trustee's permission to refinance and I believe the full amount is always due to the mortgage company.
Can you borrow money from your pension plan?
Can you borrow against money from your pension plan?
If a house is placed in an irrevocable trust does the trustee have the right to borrow money to reinvest in the house for improvements and maintenance?
You need to review the powers granted to the trustee in the trust instrument. The trustee may need to get court order if the power to borrow money was not granted in the trust.
Can a trustee of an estate be challenged by a benificiary?
Yes trustee of an estate can be challenged by a beneficiary. When acting as the trustee you have to deal with not only people but also money you may worry more about the money part but really you have to worry about the people because it can be more challenging. Been a trustee can be easier if you have cordial dealings with truthful beneficiaries.
Can a trustee in an irrevocable life insurance trust borrow money from a life insurance?
No to avoid estate tax penalty
Should a Trustee for a family trust be paid?
Yes. There is a lot of work involved in being a trustee. The trustee needs to keep an account of all the money coming into the trust and all the money going out. The trustee must be extremely careful to not co-mingle their own funds with the funds of the trust or pay any of their own bills with trust funds. The account books for the trust should be made available to the trustor and the beneficiaries of the trust.
Can you borrow money on a house that is part of estate?
You must be the duly appointed fiduciary and generally, you need the court's permission.
Does a trustee get all the money in a trust?
No. The trustee has the power and authority to handle the money in the trust according to the terms set forth in the trust. The trustee must distribute the profits as provided in the trust and must distribute the remaining trust property when the trust terminates according to the provisions in the trust. The trust may also provide compensation for the trustee.
What is a trust account used for?
When a bank or trust company holds money for a specific purpose this is called a trust account. A individual called a 'trustee' is accountable to administer the funds, in the manner legally described, to the beneficiaries.
If your mortgage arrears were included in Chapter 13 and when you refinanced you had to pay the arrears to the mortgage company and also to the trustee do you get this money back and if so how?
Your trustee is the only person who can advise you. However, it has been my experience (mortgage lending) that you must first obtain the trustee's permission to refinance and I believe the full amount is always due to the mortgage company.
Can I borrow money from a lawyer?
Well, you can borrow money from anyone if they agree to loan it to you.
Can you borrow money from your pension plan?
Can you borrow against money from your pension plan?
Lawsattorney is responsible for report of trust money?
If he is also the TRUSTEE. It is the trustee who is responsible.
Why do farmers borrow money from the money lenders?
farmers have to borrow money to purchase seeds,fertilizers and pesticides.
