A totten trust involves a bank account opened by the settlor of the trust.

Question

Quizplus · Accepted Answer

A totten trust is a type of revocable trust that involves a bank account opened by the settlor of the trust. The account is titled in the name of the settlor as trustee for the named beneficiary, and the beneficiary has no right to the funds in the account until the death of the settlor. At that point, the funds pass directly to the beneficiary without going through probate.

A Totten Trust Involves a Bank Account Opened by the Settlor