Is it necessary to print the title of the Trust on the checks or can we just put the owner's names. For example: The John Doe Revocable Living Trust, John Doe, Trustee. Can the checks be printed with just John Doe?

I would say yes. The Trust is an individual trust correct?

Yes, in this case, there is only one grantor (trustee).

We had a woman, who is the trustee for her own living trust, come into a branch yesterday and wanted to add her two children as signers on the revocable living trust account. I hope I stated it correctly when I told the branch that she would have to have them added as trustees prior to their addition as signers. Anybody? I don't like it too much when I'm considered, on occasion, the legal counsel.

As someone more erudite about trusts than I has suggested, it's amazing how people go to the trouble of drawing up trust documents -- which sort of create their own set of legal rules in many cases -- and then want to ignore them when the moon is full, or it's Friday, or the mood strikes them.

Presumably you don't have a full copy of the trust. If the trust has no language in it that provides for the appointment of agents or attorneys-in-fact, the trustee doesn't have the authority to do so. Either the trustee/grantor shows you the language in the trust that allows her to do this, or she shows you the language that allows the naming of added trustees, and then you get some sort of affidavit/certificate that the kids have, in fact, been added as trustees.

While we're at it, the lady may appoint her kids as agents to act for her in her personal capacity (outside the trust), but not in her capacity as trustee (unless the trust permits it).

Ditto John's Post - But I would also add a caution against setting the trust checking account up in the name of the individual John Doe instead of John Doe Trust.

1st - regardless of whether John Doe is is own trustee or not, the trust is for legal purposes a separate legal entity. Right now that entity may have the same TIN as John Doe, but when John Doe dies, and presumably the trust continues on for the benefit of a spouse or children with someone appointed successor trustee, that trust will have a separate TIN.

2nd - As a separate legal entity the trust enjoys FDIC insurance coverage up to $100,000 in addition to John Does individual account coverage of $100,00 for a total of $200,000. If you treat the trust and the individual as one, your insurance coverage is limited to the $100,000 amount.

3rd - John Doe as an individual can add one or more owners to his individual account. At John's death, depending on your state law and the specifics of the account, the accounts will pass to the co-owners of the account. Now if you set the trust checking or deposit account up under John's name instead of the name of the trust, and John wants to add a co-owner to the account, you've just invited a potentially nasty legal battle in your doors. Because the trust does not die with the death of John. The trust document will have termination and distribution provisions of its own.

I suggest you play it safe and don't do it! Set John's individual account in his individual name. Set his trust's checking account up in the name of the trust.

But the original question was about what gets printed on checks for the account, not on account titling.

I think you can print a John Doe's name on the check in lieu of the name of the grantor trust. But I would not recommend this for anything other than a grantor trust.

Once again John you are right. The original question refered only to the name printed on the check and not the account titling.

But I still think you are creating potential confusion down the road. I suspect that, with the best of intentions hard-working CSRs, will next forget about just the name on the check and title the account in the name of the individual.

All of the legal issues with trusts that have come out here are great. But as to the original question, having worked in Private Banking for some time...let me add my two cents pretty please

Often these clients get absolute hell trying to write a check when the subject of ID comes up. The fact that they've established a revokable living trust also is a clear indication to someone reading the check, that this person probably has some funds...funds they might want to help themselfs to in a less than legal matter.

I would never title the account as John Doe, but I'd certainly allow the single name on the checks.

I've also been a CSR and a teller (yes I couldn't hold a job without getting bored in a year). Lazy tellers and CSR's who don't look at sig cards or account ownership on the system...and rely on whats printed on a check...deserve to take losses.

Heck...I've seen checks that said "eBay Account" or "Rental Account" on line two of the name line. You can have anything printed on a check by an outside party...you can make your own checks...(criminals often do). Relying on that document for account verification is frankly, sloppy and...somewhat nuts