estate bank account

A question: Do banks / financial institutions pay any interest on an estate account? The estate account was set up to receive funds (from sale of house, term deposit, deceased bank accounts, etc) for distribution in the future. TIA!

 

I opened one with St George and they pay 1.28%.

 

Depends on the T&C's of the account that you have opened.

 

Yes they are not trust accounts so they should I think - but it would depend on how much money is in there.

 

Even Statutory Trusts for real estate agents pay interest, pity is the Government syphons this off before it gets paid to the account so it is not received by the agency or the trustees.

 

Putting it another way, are estate accounts similar to one for a discretionary trust? In which case there will be accounts with interest.

 

Yes

 

Thanks, everyone, for your replies. Good to know that some banks pays interest on estate bank account.
Hubby opened an estate bank account for his late mother with a (smaller regional) bank where his mother had a bank account (paid interest monthly). But the estate bank account earns no interest at all - as I have just discovered. The balance in that account has been over $200K which will go up after the house is sold. The house has been on the market. That (smaller regional) bank also charged $7.50 for a $500 cheque to be drawn paid to the conveyancing company! and $2.50 for doing bank transfers to reimburse us for probate fees! So, I think hubby should close the estate account down and open a new one with another bank.

 

At least go to the bank and see if they have an account with interest?