What a trust fund account is and who can open one
A trust fund account is a bank account held in the name of a trust rather than in your personal name. The account belongs to the trust itself, and a person you name — called the trustee — controls the money and makes withdrawals according to the rules you set up. You can open one during your lifetime (called a living trust) or have one created through your will after you die (called a testamentary trust).
Any adult can open a trust fund account. You do not need to be wealthy or have a large sum to start. The main reason people open them is to avoid probate (the court process that distributes your assets after death), to manage money for a minor child, or to keep assets private. Some people also use them to manage money if they become unable to handle their own finances.
The bank does not care why you want the account — they care that the trust document is real, that you have the authority to open it, and that you can fund it. That is where most of the work happens before you ever walk into a branch or call a bank.
Key Takeaways
- You must have a written trust document before opening a trust fund account; the bank will ask to see it and may keep a copy.
- The trustee (the person who controls the account) must provide a government ID and sign the account paperwork, even if you are the trustee.
- You will need a tax ID number for the trust, which you can get free from the IRS using Form SS-4, though some banks accept your Social Security number instead.
- Different banks have different minimum balances and fees for trust accounts, so call ahead to compare before you visit.
- The process typically takes one to two weeks from the time you submit all documents until the account is active and ready to fund.
Create or obtain your trust document first
Before you contact any bank, you need a written trust document. This is a legal paper that spells out who the trustee is, who gets the money (called beneficiaries), and what rules the trustee must follow. You cannot open a trust account without it.
You have three ways to get a trust document. You can hire an estate attorney to draft one for you — this costs $500 to $2,000 depending on complexity and your location. You can use an online legal service like LegalZoom, Nolo, or Rocket Lawyer, which costs $100 to $500 and takes a few days. Or you can buy a template from an office supply store or download one free from your state bar association website, then fill it in yourself — this works for simple trusts but carries the risk that mistakes could make the trust invalid.
The bank will want to see the trust document and may ask for a certified copy (a copy stamped by a notary or the court). Some banks keep a copy in your file. Have at least one certified copy made before you go to the bank, and keep the original in a safe place.
Get a tax ID number for the trust
The IRS assigns a tax ID number (called an EIN, or Employer Identification Number) to trusts so the bank can report interest and other income to the government. You can get one free by calling the IRS at 1-800-829-4933 and filling out Form SS-4 over the phone, or by mailing the form to the IRS and waiting about two weeks for a response.
Some banks will accept your Social Security number instead of an EIN, especially if you are the trustee of your own living trust. Ask the bank before you apply for an EIN — if they will take your SSN, you can skip this step and save time. If they require an EIN, get it before you open the account, because the bank will not complete the paperwork without it.
The IRS also has an online tool called FIRE (Federal/State Interactive Tax Identification Number Matching System) that lets you apply for an EIN immediately and receive it the same day. You can use this if you have a valid Employer Identification Number application already started.
Gather the documents the bank will need
Call the bank where you want to open the account and ask what documents they require. Most banks ask for the same core items, but some have extra steps. Here is what to expect:
- A certified copy of the trust document (or sometimes just the first page and the signature page)
- A government-issued photo ID for the trustee (driver's license, passport, or state ID)
- The trust's tax ID number (EIN) or your Social Security number
- Proof of your address (a utility bill, lease, or recent bank statement)
- The initial deposit (the amount varies by bank; some have no minimum, others require $100 to $10,000)
Some banks also ask for a "Certificate of Trust" — a short document signed by the trustee that confirms the trust exists and is valid, without revealing the full contents. This is optional at most banks but protects your privacy if you do not want to show the entire trust document. You can create one yourself or ask your attorney to provide one.
Compare banks and their trust account terms
Not all banks offer trust accounts, and those that do have different rules. Call or visit the websites of banks in your area and ask about their trust account options. Pay attention to these details:
| Feature | What to Ask |
|---|---|
| Minimum balance | Is there a minimum to open? A minimum to keep the account open? What happens if you fall below it? |
| Monthly fees | Do they charge a monthly maintenance fee? Is it waived if you keep a certain balance? |
| Interest rate | What interest does the account earn? Does it vary by balance? |
| Debit card and checks | Can the trustee use a debit card or write checks from the account? |
| Online access | Can the trustee view the account online or through an app? |
| Document requirements | Do they need a certified copy of the trust or will a regular copy work? |
Large national banks like Chase, Bank of America, and Wells Fargo all offer trust accounts, but so do many credit unions and smaller regional banks. Credit unions sometimes have lower fees and higher interest rates, so it is worth checking both.
Open the account in person or by mail
Once you have chosen a bank and gathered your documents, you can open the account. Most banks let you do this in person at a branch or by mail.
If you go in person, bring all your documents and the initial deposit. The bank employee will review everything, make copies, and have you and the trustee sign the account paperwork. This usually takes 30 minutes to an hour. The account may be active the same day, or the bank may need a day or two to process it.
If you open by mail, send copies of your documents (not originals) along with a signed account application. Include a check for the initial deposit. Mail everything to the address the bank gives you and expect to wait one to two weeks for the account to be set up. The bank will call or email if they need anything else.
Either way, ask the bank when the account will be ready to use and how you will receive the account number and debit card (if applicable). Some banks mail these items; others let you pick them up at the branch.
Fund the account and set up ongoing management
Once the account is open, you can move money into it. You can do this by depositing a check, transferring money from another account, or having someone send you money directly. The bank will give you the account number and routing number so you can set up automatic transfers or direct deposits if needed.
If the trust is for a minor child, you may want to set up rules about when and how the trustee can withdraw money. Some families use a separate savings account for the child's money and keep it separate from the trustee's personal accounts. Others use the trust account as the main account and let the trustee manage it as needed.
Keep records of all deposits, withdrawals, and interest earned. The bank will send you a statement each month (or quarter, depending on the account type). At the end of each year, the bank will send a 1099 form showing interest earned, which you will need for tax purposes.
Frequently Asked Questions
Can I open a trust account online without going to the bank?
Most banks require you to open a trust account in person or by mail because they need to verify the trust document and the trustee's identity. A few online banks may allow it, but they are rare. Call your bank to ask; if they do not offer online trust accounts, you will need to visit a branch or mail in your documents.
What if I am the trustee and the beneficiary?
You can be both. You will still need to show your ID and sign the account paperwork as the trustee. The bank treats the account as belonging to the trust, not to you personally, even though you control it and benefit from it.
Do I need a lawyer to open a trust account?
No. A lawyer can help you create the trust document, but once you have it, you can open the account yourself. The bank does not require legal representation. However, if the trust is complex or you are unsure about the rules, a lawyer can answer questions before you open the account.
How much does it cost to open a trust account?
Opening the account itself is free at most banks. You may pay an initial deposit (which becomes your account balance, not a fee), and you may pay monthly maintenance fees depending on the bank. Some banks waive fees if you keep a minimum balance. Ask about all costs before you open the account.
Can I change the trustee after I open the account?
Yes, but you will need to amend the trust document and notify the bank in writing. The bank may ask for a new certified copy of the trust showing the change. The process takes a few weeks. It is easier to choose the right trustee before you open the account.