1. Trust Bank Accounts

2. Defined
Not a real trust; just an account at a bank, credit union, or other financial institution.
“A in trust for B.”
“A, trustee for B.”
Other terms:
Totten trust
Savings account trust
Tentative trust

3. Ownership during T’s lifetime
Trustee (depositor) has all rights.
May withdraw without notice to or consent of B.
No split of title.
No imposition of duties.
If more than one trustee (depositor), they own in proportion to their net contributions.

4. Ownership After T’s death
Beneficiaries have rights only after:
All trustees have died, and
Beneficiary has survived all trustees.

5. Potential Benefits
Avoid probate – money immediately available to beneficiary
Inexpensive
Depositor gives up no control
Effective to make small gifts in large estates

6. Potential Disadvantages
No professional management
Low rate of return
No tax benefits
Confusing to clients
Use Pay on Death accounts instead