Legacies for Minors

Trusts Discussion
1

We are dealing with an estate where we are looking to deposit relatively small legacy payments less than £10k each, on behalf of minor beneficiaries who will not come of age for quite some time.

The Legal Guardians of these minor beneficiaries are not suitable to act as custodians of the legacy payments. As sole Executors/Trustees we would normally place these legacy payments into a deposit account until the beneficiaries come of age. However, we are not entirely comfortable doing this and we inquire whether these monies can be placed with a suitable Court/Government backed scheme or trust until such time as the beneficiaries are able to take their inheritance.

Cassam Edoo
Hill and Company Solicitors

2

Always difficult. Deposit accounts are definitely not appropriate if the minors are very young.

Strictly speaking premium bonds are not authorised trustee investments, but I might still be tempted by this option, avoiding the risks of the stock market for small sums.

Otherwise a couple of small holdings of unit or investment trusts on taking advice from a stock broker or financial advisor, if you can find one for such small sums.