Protect The Wealth You Plan to Transfer to Your Loved Ones
October 30, 2019
Non-Deposit Investment Products are: not insured by the FDIC; not a deposit or other obligation of, or guaranteed by, the bank; subject to investment risks, including possible loss of the principal amount invested.
Families have choices when it comes to securing their savings for future generations. Trusts, for instance, are useful for the ongoing management and distribution of your assets, while Wills designate who will receive your assets after you’re gone. Choosing how to structure each is all part of the Estate Planning process, and one of the most important choices you make is the naming of an Executor or Trustee to see that your wishes are carried out precisely the way you planned.
Ranelle Hampy, Executive VP-Wealth Management Officer for Texas Gulf Bank, tells us that Executors and Trustees have the fiduciary obligation to carry out the duties laid out in estate plan documents as the designated “prudent person”—meaning this person is there to do exactly what the related documents direct them to do. An Executor collects all assets and distributes them according to the Will. In addition, they file related legal documents and ensure any necessary tax returns are promptly filed. A Trustee follows directives laid out in the Trust document for all distributions and investments. They also report regularly to the beneficiary, as well as file related tax returns.
While being named as a Trustee is an honor, it is also a complex and demanding responsibility that often focuses on protecting young children. This person is the one to help you, not the court, make important decisions about your loved ones, as well as the disposition of your property. How do you know who the right person is to be the Executor of your estate? Ranelle says this should be someone who is qualified, trustworthy and understands your wishes. Choose someone close to you who is familiar with your financial affairs, such as a spouse.
In addition to a Trustee, it’s also a good idea to include a Corporate Executor as an alternative authority in case the original Executor chooses not to serve, has moved out of state, or has passed away. An impartial Executor or Trustee can settle disputes between family members because the Corporate Executor is familiar with managing estates, and the Corporate Trustee is impartial to family members’ wishes when they lie outside the parameters of the legal documents. Our team here at TGB can work with your attorney to create an estate plan that names Texas Gulf Bank as the Trustee and/or Executor of your estate.
When appointed to serve, Texas Gulf Bank can help fulfill the various legal requirements of a Trust. Our Wealth Management officers are equipped to handle tasks associated with administering and carrying out your instructions, while your lawyer retains overall responsibility for the Trust.
The role of our Wealth Management team is to provide insightful advice, attentive service, and a personal approach. Our Estate Planning offerings serve as an extension of your lawyer’s services with a fully integrated approach to financial planning.