Beneficiary under 21. What does executor do?

Jerben wrote: »

I'm a long time reader and have picked up lots of very useful info.


My partner is Executor of her fathers will. It leaves £10k to each Grandchild, 'attaining the age of 21'.
Two Grandchildren are currently under 21.
What should she do with this money until they reach 21?

The money has to be held in approved trustee investments until they reach the specified age. Two trustees are required so the executor needs to appoint another.

This link would be a good place to start. Or you can Google trustee investments.

http://www.google.co.uk/url?sa=t&rct=j&q=&esrc=s&source=web&cd=8&ved=0CEwQFjAH&url=http%3A%2F%2Fwww.oldmutualwealth.co.uk%2FDocuments%2FLiterature%2520Library%2FOMWLA%2FGeneric%2520and%2520Intermediary%2FOMW_SK6867_a_guide_to_investment_for_trustees.pdf&ei=AyQQVeC7EM7WatOtgPgK&usg=AFQjCNGdYs5W4YrnBU3R0nkOFF6HU-6ApQ&bvm=bv.88528373,d.d2s

I'm in the middle of setting up a Trust for my son who is under 18 for the proceeds from his father's estate, and a number of pensions. I am also the Executor as my Ex husband died intestate.

I have to say I have found the whole Trust process so convoluted and complicated. In this case it wasn't specified in a Will but through Intestacy rules. So my son has to have the proceeds of the estate (sale of house proceeds) at 18. However the pensions set their own various rules varying between him having them beween 23 and 25.

I tried a number of High St bank and building societies and none could help. In all cases the money and the account became the child's to do with what they wished at 16. I've been months trying to find out what to do. Eventually one of the pensions suggested I see a financial adviser which I did. He confirmed Trust accounts which cannot be used beyond 16 with a bank are very rare.

So I don't know if this is relevant to you but the financial adviser then put me in touch with a solicitor who wrote up a document (The Trust) which the financial adviser has sent to the pensions for them to agree to release the funds. The financial adviser will then set up investments in line with the agreed Trust document.

Good luck - yours might be easier with there having been a Will.

Most building societies offer trust accounts. Just phone them or check their websites. Simples!

Rooibos wrote: »

I tried a number of High St bank and building societies and none could help. In all cases the money and the account became the child's to do with what they wished at 16. I've been months trying to find out what to do. Eventually one of the pensions suggested I see a financial adviser which I did. He confirmed Trust accounts which cannot be used beyond 16 with a bank are very rare.

We used this account for my son's inheritance from my Nan.

Not much use if the will specifies over 21, but it was acceptable to have inheritance put into that specified over 18.

https://www.harpendenbs.co.uk/savings-childrens.asp