is it a savings account?where the money come from?
2007-02-23 18:32:36 · 2 answers · asked by Roy C 1 in Business & Finance ➔ Careers & Employment
A trust fund is a savings account that can't have any withdrawals until a certain time. Usually they're put in place for children, both as a way to save for the future and for their parents/loved ones to put away some money tax-free for them. Some trust funds are stock-market linked and therefore have some risk involved.
In the UK, children born since 2004 have been entitled for a £250 trust fund starter voucher, to encourage families to save for their children.
2007-02-23 18:41:45 · answer #1 · answered by MomMom 4 · 0⤊ 0⤋
Trust funds can be set up different ways. My uncle set one for each of my cousins when he found out he was dying from cancer. He put $5,000 each in an interest bearing account, and stipulated in his will that unless they went to college full-time they could not get the money (Unless it was an emegency) until they were 25. Neither one of them went to college and by the time they were 25 each of their accounts were worth $40,000 each (They were 6 & 8 years-old when he passed away).
2007-02-24 02:41:34 · answer #2 · answered by Ryan's mom 7 · 0⤊ 0⤋