Legal Question in Wills and Trusts in Florida
what happens to a irrevocable trust in a bank if the bank goes under?
2 Answers from Attorneys
If the bank goes under the accounts go to a receivorship - they will in turn select a new trustee according to the terms of the trust.
Attorney Becude is correct above assuming what you originally meant was that the Bank was the Trustee named under the terms of the Trust or if the trust document was located in a Safe Deposit Box at the Bank. If you meant that the bank is simply holding the original documents, or is only one among many accounts that the trust has an interest in or that the Trust has stock or ownership in the Bank, or perhaps that there is an ITF account at the bank wherein the Trust is an interested party named, then the answer may be different. Also if If you mean the latter, then you should rephrase your question accordingly and give more specifics.
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