Correct naming of trust bank account

Discussion in 'Legal Issues' started by mr_alex, 3rd Jun, 2021.

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  1. mr_alex

    mr_alex Well-Known Member

    Joined:
    28th Jan, 2017
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    Location:
    Gold Coast
    Hi. I have just had a DT established for a future property purchase. I believe the next step is opening a bank account.

    After some reading I am unsure how to name the bank account.
    Should it be the name of the trust? Eg.
    ' Smith family trust '

    Or the name of the trustee? Eg.

    ' Smith Assets Pty Ltd ATF Smith family trust '

    Also, i read that the first deposit should be the same amount as the settled amount (which is a $10 note physically stapled in my trust deed)

    Thank you in advance.

     
    mr_alex, 3rd Jun, 2021
    #1
  2. Terry_w

    Terry_w Lawyer, Tax Adviser and Mortgage broker in Sydney Business Member

    Joined:
    18th Jun, 2015
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    Australia wide
    a trust is not a legal entity so cannot enter contracts - such as bank accounts.

    It should be in the name of the trustee, but tell the bank the trustee will be acting as trustee.

    There is no requirement that the first deposit should be the settled sum
     
    Terry_w, 3rd Jun, 2021
    #2