How many trustees are needed?

You’ll need to make sure that the trust always has a minimum of two personal trustees or one corporate trustee.

Can I change the beneficiary?

This depends on the type of trust you use. If you use a bare version of this trust, you won’t be able to change the beneficiary. If you choose a discretionary version of this trust, the trustees will decide who benefits after your death, how much they get and when. You can tell the trustees you’d like to change the beneficiary but it is ultimately their decision.

Can I remove a trustee?

You can’t remove a trustee. However, if a trustee dies, wants to be discharged, refuses to act, or is no longer capable of being a trustee, you can appoint a new trustee in their place.

Can I appoint more trustees?

Yes, as long as you have no more than four trustees at any one time.

What happens if I decide that I don’t need my loan back?

You can tell the trustees that you don’t want your loan back and choose to make the loan a gift. This means you won’t be able to take any more loan payments from the trust.

Gift and Loan Trust

Inheritance tax planning with access to your money

With this trust, you loan the trustees a lump sum, on an interest-free basis. As it’s a loan to the trust, you’ll get unlimited access to the outstanding loan, taking regular or ad hoc payments. The outstanding loan stays inside your estate so is in scope for inheritance tax. However, you won’t need to pay inheritance tax on any investment growth.

Is the Gift and Loan Trust right for you?

Investment growth is free from inheritance tax

Flexibility over who receives the money and when

What are the risks?

The value of your investment can go down as well as up and you may get back less than you invest. Tax rules depend on the type of investment and individual circumstances and may change.

This trust could be right for you if:

You want inheritance tax planning and access to your money
You want to take regular or ad hoc withdrawals
You want the option for beneficiaries to receive payments while you’re alive

This trust might not be right for you if:

You want to access the investment growth
You want to loan the money for less than five years

Bonds that can be used with this trust

Find out more about the investment bonds that can be used with this trust:

Delta Account

Premiere Accounts

Elite and Prestige Accounts

Fund Centre

Explore all our available funds. See our price lists, fund performance, factsheets and more.

Need an adviser?

Get a tailored quote for this product from a financial adviser. To find one, visit Unbiased.

Frequently asked questions

This depends on the type of trust you use. If you use a bare version of this trust, you won’t be able to change the beneficiary. If you choose a discretionary version of this trust, the trustees will decide who benefits after your death, how much they get and when. You can tell the trustees you’d like to change the beneficiary but it is ultimately their decision.

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