rpreston
May 26 2003, 10:16 AM
anyone know the difference in a "common" vs "collective" trust?
vebaguru
May 26 2003, 05:26 PM
I believe that the term used by IRS is "Common/Collective Trust". The purpose for the two words is because some banks use one and some use the other, but IRS lumps them together because to the Service they are the same. Of course, banks may have different meanings for "common" and "collective". If you find a bank that uses both terms (and I doubt one exists), you can ask them. Otherwise the term means the pooled "common" or "collective" investment account offered by the bank trustee.
Harwood
May 28 2003, 12:54 PM
Go to winston.com [Winston & Strawn]
Search for: OCC
Click on "Compliance Issues for Retirement Plan Trustees"
There is a bit on the difference between Common and Collective