Trust Account (or Trust)
Categories: Ethics/Morals, Mutual Funds, Insurance, Trusts and Estates
A trust is kinda what it says it is: one person trusts another party to follow certain written instructions.
A bank or trusted party is tasked with being sure that the money that is supposed to get paid actually does gets paid—and to the right people/things. The person creating the trust, the trustor, gives another guy, the trustee, the right to hold official possession of stuff for the benefit of someone else, the beneficiary.
There are lots of adjectives that can be attached to trusts, and tax laws change every time you do so, so check out some of our other definitions and make sure you pick the right one for the right circumstances.