Trust Bank Accounts

xylophone

Thank you Xylophone. I’ll hopefully have about £30,000 to invest. Can I invest three times in the issue 59 do you know?!

No - see https://www.moneywise.co.uk/news/2018-06-11%E2%80%8C%E2%80%8C/nsi-slashes-deposit-limit-guaranteed-growth-bonds

You can invest a maximum £10,000 in each issue.

https://www.nsandi.com/guaranteed-growth-bonds


We calculate the interest daily and add it to your Bond on each anniversary of investment.

What would the estimated balance be at the end of the term based on a £1,000 deposit?

3-year term, Issue 59

A £1,000 deposit would be worth £1,059.65 at the end of the 3-year term.

Had you looked at this (from Investment Sense link)

https://ccbank.co.uk/savings/5-year-fixed-rate-business-trust-and-charity-bond-5/

Mumum

Xylophone you are truly wonderful! Thank you so much for finding this for me. Funnily enough I tried ringing them (based on their savings accounts) but they closed at 5pm. I wouldn’t have tried ringing them again tomorrow either because I’d since learned that savings accounts don’t accept trusts. Thank you so much therefore! It certainly mentions trusts at the top of the page so I shall be ringing them tomorrow and I shall let you know how it goes! I shall sleep better tonight!:beer:

Mumum

I’m talking about the Cambridge and Counties trust bond of course.

Mumum

Hmm then again, looking at who they accept applications from, it may be the case that they don’t accept applications from personal trusts, looks more like business trusts.

xylophone

I'm not sure what a "business trust" would be.

The web site says

We accept applications from UK based Sole Traders, Partnerships, Limited Companies, Limited Liability Partnerships, Charities, Societies, Clubs, Associations, Trusts and Parish Councils.



It doesn't clarify the type of trust.

It does say

The deposit must come from your nominated business current account by cheque or transfer.

But a Trust would have a Trust current account ( which I suppose might qualify as a business account).


You'll need to give them a ring and ask.

Otherwise I suppose you might consider the NS& I three year bond, and one year bond and perhaps the Skipton?

Or had you tried Metro Bank? The three year bond is mention in the Investment Sense link and I recall earlier posts where they are mentioned in connection with Trust accounts.

https://www.metrobankonline.co.uk/savings/products/fixed-term-savings/

Mumum

Fantastic news - Cambridge & Counties will accept my personal Injury trust at 2% for 3 years or 2.5% for 5 years, of which I’d probably be interested in the latter.

I am waiting to hear back from my solicitor to see how much she would be prepared to give me as an interim payment (I’ve asked for £20,000) as C&C have advised you can’t add extra money later.

My solicitor’s secretary has advised that it could take months before negotiations are finalised, which is frustrating. I shall press ahead therefore and get a current account trust fund set up (necessary before I can invest with C&C) and hope that the 2.5% offer will still be active when I’m ready to purchase.

I have the option of my solicitor paying direct to C&C but then when the investment matured, the money would have had to been paid directly to her, so not a good choice.

Thank you heartily for bringing C&C to my attention Xylophone!

Mumum

Hello again. Please could anyone kindly advise? If I invest my personal injury trust money long term, eg 5 years fixed at 2.5% or 10 years if I let Skipton invest it for me, what happens if I die, say in three years?

The trust collapses on my death while the money is tied up. Will it automatically form part of my estate while remaining invested and then become part of my son’s trust which I will be setting up in my will?

My concern is that it doesn’t doesn’t form what could be deemed as capital whilst tied up or accessible capital when it matures, otherwise it could be absorbed into means-tested housing, education costs etc

Thank you 🙏

xylophone

https://www.pfp.co.uk/blog/what-happens-my-personal-injury-trust-when-i-die
may help but you should check with your solicitor - note the final paragraph.