Interest in Possessions Trust - suitable bank accounts

downontheallotment

Hi

I find that I am in the position of having to create an "Interest in Possessions Trust" ("IPT") - I am the trustee, and an elderly relative is the beneficiary. My relative has the right to all income from the Trust, but not to any of the capital, so from what I gather, an IPT is appropriate.

However, trying to find information about interest-bearing accounts that are suitable for IPTs is not very rewarding. Does anyone have experience of finding a bank account for this purpose that gives a reasonable rate of interest (it will be needed to help with nursing home fees), and that does not require my handing over the trustee role to the bank (at least one of the major high street banks does require this, besides not giving a vast amount of interest)? 

Keep_pedalling

You can use NS&I for trust accounts. Not the highest interest rates (although finding higher for trusts may not be possible) but will give greater security if the amount is over £85k.

downontheallotment

Thanks for this. NS&I is one of the very few providers that I have found in my searches, and as you say, they do give greater security for larger amounts.