New Trust Account launched by HSBC
HSBC Malta has launched the HSBC Trust Account, a notice account based on the concept of a trust.The account gives one the opportunity to have a deposit account with flexibility, a great rate of interest and high confidentiality since the account is...
HSBC Malta has launched the HSBC Trust Account, a notice account based on the concept of a trust.
The account gives one the opportunity to have a deposit account with flexibility, a great rate of interest and high confidentiality since the account is opened directly in the name of HSBC Bank Malta as trustee, the bank said.
HSBC's Trust Account allows customers to deposit additional funds whenever they wish and to withdraw, subject to a 90-day notice, without upsetting the account or losing any credit interest. The account can be opened with a minimum of Lm5,000 and will be converted to euro on January 1, 2008 (subject to Malta adopting the euro as its national currency on that date). Moreover, the account attracts a current interest rate of 3.75 per cent per annum.
The bank said the account doubles as a substitute for a will since, on one's death, the balance will be handed out to designated beneficiaries. The account can also be designated to a minor and will immediately form part of the minor's estate.
Beneficiaries can be changed at any time during a person's lifetime. Funds from the account may be used for the benefit of the beneficiary without the need for a court order or consent from anyone else.
"This account will attract principally two type of customers, those who are looking for a safe and convenient home for their cash savings while earning a good rate of return, and those who would like the assurance to know that their loved ones will receive their share without enduring succession proceedings, which is normally a cause for delays and potential complications," Jan Sammut, deputy head of trust services at HSBC said.
The account gives one the opportunity to have a deposit account with flexibility, a great rate of interest and high confidentiality since the account is opened directly in the name of HSBC Bank Malta as trustee, the bank said.
HSBC's Trust Account allows customers to deposit additional funds whenever they wish and to withdraw, subject to a 90-day notice, without upsetting the account or losing any credit interest. The account can be opened with a minimum of Lm5,000 and will be converted to euro on January 1, 2008 (subject to Malta adopting the euro as its national currency on that date). Moreover, the account attracts a current interest rate of 3.75 per cent per annum.
The bank said the account doubles as a substitute for a will since, on one's death, the balance will be handed out to designated beneficiaries. The account can also be designated to a minor and will immediately form part of the minor's estate.
Beneficiaries can be changed at any time during a person's lifetime. Funds from the account may be used for the benefit of the beneficiary without the need for a court order or consent from anyone else.
"This account will attract principally two type of customers, those who are looking for a safe and convenient home for their cash savings while earning a good rate of return, and those who would like the assurance to know that their loved ones will receive their share without enduring succession proceedings, which is normally a cause for delays and potential complications," Jan Sammut, deputy head of trust services at HSBC said.