Institutional trustees are companies, often banks, who professionally manage the trust’s assets. These companies usually do charge a fee for the services, but the companies come with several benefits:
- - They are skilled at managing trusts;
- - They have the ability to handle complex paperwork and recordkeeping;
- - They provide continuity to the management of the trust;
- - They operate free of bias; and
- - They are regulated to prevent fraud
1. Experienced Administrators: Institutional trustees have experience managing trusts. This allows them to easily navigate the legal requirements for trustees.
2. Strong Recordkeeping: Trusts also have fairly extensive recordkeeping requirements to prevent fraud on the part of the trustee.
3. Management Continuity: The corporate nature of institutional trustees also allows for continuity in the trust’s management.
4. Unbiased Distribution: Additionally, institutional trustees can eliminate the possibility of bias that might exist with trustees who are friends or family.
5. Fraud Protection: Finally, institutional trustees have fraud prevention mechanisms in place.
To read more about the benefits of using an Institutional Trustee, click on the link to read this blog in its entirety; http://www.dgaalaw.com/dgaablawg/illinois-estate-planning-attorney-benefits-institutional-trustee
If you are interested in setting up a trust, consult with an Illinois estate planning lawyer to tailor one to your specific situation.
