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#2270094 - 05/05/22 04:58 PM Two Formal Trusts - One Account
Inquisitive Banker Offline
New Poster
Joined: May 2017
Posts: 2
We have two customers that are trustees on two completely separate trusts with two separate trust agreements. They are trying to open one account titled jointly with both trust names. This can only cause so many issues with tax reporting, beneficiaries, etc. comingling these funds, but our attorney is saying we should open it. Can someone confirm?

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#2270096 - 05/05/22 05:10 PM Re: Two Formal Trusts - One Account Inquisitive Banker
rlcarey Offline
10K Club
rlcarey
Joined: Jul 2001
Posts: 78,958
Galveston, TX
I hope your attorney's E&O insurance is paid up and you have that in writing from them.
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#2270097 - 05/05/22 05:12 PM Re: Two Formal Trusts - One Account Inquisitive Banker
RockChucker, CAMS Offline
Diamond Poster
Joined: Jul 2013
Posts: 1,639
The Country
Don't do it. And maybe look into getting a new attorney.

Can you do it? Sure but just because it can be done doesn't mean it should be done.
Last edited by RockChucker, CAMS; 05/05/22 05:13 PM.
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A successful man is one who can lay a firm foundation with the bricks others have thrown at him.
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#2270122 - 05/05/22 08:23 PM Re: Two Formal Trusts - One Account Inquisitive Banker
TaraSue Offline
Junior Member
Joined: Oct 2013
Posts: 47
Ironically, I just had this conversation with my own personal attorney. My husband and I have separate trusts (helps at time of death). We have joint checking accounts - I was having a hard time understanding how to set things up. Here's where we ended up. For the account that I am the primary on, my trust will be the beneficiary and will come into play if my husband and I die at the same time or close to it. For the account that he is primary on, his trust will be the beneficiary. We are each other's successor trustees and happen to have the same person as the second successor. We just needed to come up with a way to make this work that made sense, as I know we wanted to keep signing privileges for both of us on both accounts. Maybe offering something like this is an alternative? If one of us dies significantly before the other, the trust of the survivor would be the beneficiary (that may or may not need to change, depending on who dies first.)

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