I haven't been able to locate this specific question, so need to rely on your expertise. A customer presents a trust agreement from Indiana and wishes to open an account in Michigan. Is this acceptable? Or - better yet - adviseable?

I've posed the question to the FDIC as well. If the bank were to fail, which state would "govern" the trust agreement - the state in which it was created or the state in which the account was opened?

Thanks for any assistance!!

That is probably a question best posed to qualified legal counsel.

I agree with Bonnie, the first step would be ask your legal counsel.

Absent that I offer the following information. Administration of the trust itself will probably be governed by what ever state is stated in the document itself. There could potentially be some residency or domicle issues if there is real estate property in the trust.

Your deposit account and the handling of the transaction within that deposit account would be governed in accordance with whatever is stated in your deposit agreement. So the fact that the two may not be the same I would not think would be a problem.

Thanks - this was helpful. I'm still awaiting FDIC and legal counsel response, but it gives me a place to start.