Trustee Deposit Personal Check Into Own Trust?

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Question:

Can a Trustee deposit a personal check payable to themselves into their trust account, since they are Trustee?

Answer:

If a check is payable to John Doe as an individual he can endorse it over to anyone he pleases. In your example, he would endorse it, "Pay to the order of the XYZ Trust, John Doe."

Alternatively, if a check was payable to John Doe as a fiduciary such an action might clearly indicate a breach of fiduciary responsibility.

First published on BankersOnline.com 2/18/13