Trust FAQs

Frequently Asked Questions about Trusts at Heartland Bank

Trusts can be difficult to understand. When it comes to securing your legacy and your family’s future, you want to be sure you have as much information as you need. We have created a list of Trust FAQs – frequently asked questions about trusts – to help you better understand this service area. If you do not see your question here, please call or stop by your nearest Heartland Bank office to get an answer.

What is a trust?

A revocable living trust is a complete will substitute. It can control all of your assets during your life and after your death. When you set up a living trust, you must transfer the title of your assets including stocks, bonds, certificates of deposit, real estate, etc., from your personal name into the name of your trust. The assets titled in the trust name will not go through probate.

Can I act as my own trustee?

Yes, if you are competent to handle your affairs now, you certainly may act. It is a good idea to name a successor trustee in the event of incapacity or death.

Can I change the terms of my living trust?

Yes, you can change your living trust or even revoke it while you are still alive and competent.

Is a living trust only for the rich?

No. While a trust is not a solution for everyone, it provides relief for anyone wanting to shield his or her family from unnecessary probate costs, attorney’s fees, executor’s fees, and court costs, or who needs to protect a beneficiary’s interest from ex-spouse’s, other creditors, disability or financial mismanagement.

How much does it cost to manage my trust account?

Heartland Bank’s standard trust fee is a percentage of the total market value of all of your assets.

Will my living trust be subject to income taxes?

Yes. Living trusts are not a vehicle for decreasing your income taxes, but a way to avoid conservatorships, probate and decrease or eliminate federal estate taxes.