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Trust Accounts: Are non-trustee signers allowed?

Can there be another signer on a trust account in addition to the actual trustee? Can the successor be a signer on the trust as well?


A successor trustee has absolutely no authority to act on behalf of a trust until her or she succeeds to the position of trustee. Therefore, it would be a mistake for a bank to allow a successor trustee to sign account documents.

Some state laws may permit a trust to appoint authorized signers, if the trust instrument specifically provides for such action, but if the trust instrument says nothing about such an appointment, only the current trustee(s) should be signing on accounts of the trust. Generally speaking, a trustee serves in a fiduciary capacity, and fiduciary authority cannot be delegated or assigned to a third party.

Published on BankingQuestions.com 5/18/07