Can anyone direct me to a useful bank that will allow you to open a bank account as a trustee of a discretionary trust without asking you to provide ID for ALL the ‘remoter issue’ who are currently over the age of 18 years so that such ‘remoter issue’ can sign the terms of business for the bank? That is the latest obstruction put forward by Royal Bank of Scotland (my own bank). I have tried to explain that this is a discretionary trust - not a business nor an individual person.
Am I the only person experiencing problems with banking and discretionary trusts? I can’t act as a bank (SAR) but at the same time I can’t find a bank that understands trusts. Can anyone please help?
Try Yorkshire Bank or Cater Allen. Personally I try and avoid having bank accounts for trusts (and I say that as someone who doesn’t hold client money). I find them opaque and disproportionately expensive to deal with.
If the trustees have a broker in place they can often do the cash management for you.
Also, I would say have another look at the SAR – if you are continuing to act for the trustees in the ongoing administration of the trust you may find you can legitimately use your client account for the trust receipts/payments envisaged.
Hi Trudy
I have spoken with Carter Allen, part of Santander, before regarding trust bank accounts. They appear to understand the issues. Give them a try. https://www.caterallen.co.uk/
Let me know how you get on. If you don’t get the right answer, I know someone I can ask.
Best wishes
For those forum members who use the Kessler discretionary trust precedents (or similar) under which there are named beneficiaries at the end of the trust period (in default of any prior appointment) (Kessler clause 4), Metro Bank will only usually seek ID from those beneficiaries (this will be in addition to ID checks on the trustees and a certified copy of the trust deed).
Please be aware that for trust accounts, Metro levy a £50 account opening fee and insist upon a £25k minimum opening deposit.
Please also note that the main point of contact at the bank for trustee banking is now: Peter King, T: 07943 654956, E: peter.king@Metrobank.plc.uk
My initial reaction was to suggest Yorkshire Bank. Have not had experience of Cater Allen but a number of our colleagues appear to be speaking quite highly of them…
Best of luck - I’d be interested to hear your resolution of this matter.
