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A trust is the administration of any property for the benefit of another. An "estate account" is a form of trust, since it is administered by the executor or administrator for the benefit of the beneficiaries of a Will, but it is a much more specific kind of thing, as it can only arise out of the death of a person and is an "account"--a deposit of money in a bank. Trusts can involve all kinds of property including land, interests in businesses or intellectual property, and can be set up by living people for others (including children or the mentally infirm) or for charitable purposes, or can be created by operation of law, but none of these would be described as an "estate account".
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What is the difference between a trust and a checking account?
a trust account means you trust the person that is opening the account, and a checking account means you will keep checking it to make everything is okay.
What is the difference between an irrevocable trust and a living trust?
Provisions of a living trust remain valid as long as you stay alive, but the benefactors of your estate are not bound by these provisions once you have died. An irrevocable trust binds the benefactors of your estate to the trust's provisions.
Who puts money into an estate account?
Whoever is the trustee(s) of the trust for the estate is responsible for the account, including putting money in it.
Where should I open an estate account?
You should open an estate account at a bank or financial institution that offers trust and estate services. It's important to choose a reputable institution that can handle the complexities of managing an estate account.
What is the difference between credit shelter trust and irrevocable trust?
What is the difference between credit shelter trust and irrevocable trust?
Can the beneficiary of an irrevocable trust open a bank account with trust's EIN?
Absolutely....All one needs is to be the trustee of the irrevocable trust, have a Tax Identification number for the trust, and all documents for the estate, investments, shares, and accounts you are planning to transfer into the Trust account.
Is a fiduciary account and an estate account the same?
A fiduciary is one who owes a duty of good faith, trust, confidence and a high standard of care in managing the property and money of another. An executor or administrator of an estate is a fiduciary. Therefore an estate account is also called a fiduciary account. The short answer to your question is yes.
What is the difference between a living trust and an estate?
A living trust is set up for a specific purpose, with rules for what is to be done with the assets while the individual is living. They key to many is that it can also transfer the contents without going through probate. An estate is the property of a decedant that is going through probate.
If someone designates a beneficiary does the money have to go to the estate or does it go directly to the beneficiary?
In relation to an IRA account or some similar trust account, the money goes DIRECTLY to the beneficiary and is not a part of the estate at all
What is the difference between trust and mistrust?
mistrust is you cant trust someone and trust is well you trust someone
What is the meaning of 'ITF' on a bank statement?
It could mean: Internal Transfer of Funds In Trust For Interim Trust Fund International Trust Fund If the bank account is a ITF ("in trust for") or FBO ("for benefit of") type of trust account, then the beneficiary will gain immediate control of the account upon your death without going to court, though possibly subject to estate tax.
What is the difference between a trust and an estate?
A trust is an entity set up to maintain and distribute assets in accordance with the trust creator. There are specific laws on how a trust can be set up and run, what reporting and what taxes have to be paid. There are also laws about how long a trust can last. A will is the method used to specify how one's assets will be distributed upon death. Often a will with create a trust. Wills also are subject to specific laws and taxes.
