About the product

Trust and escrow accounts permit settlement of individual transactions (contracts) between counterparties. They also increase security of trade transactions concluded between parties who can jointly define the terms and conditions, under which money accumulated on the account is used. The Bank, as an institution of public confidence, carrying out instructions stipulated in the account agreement, controls disbursement of the entrusted funds.

Trust accounts are kept under par. 59 of Banking Law. The trust account agreement is for the purpose of settlement of a transaction resulting from a separate trade agreement and is signed between the Bank and the trustee. Money deposited on a trust account is protected from bailiff seizure and from inclusion in the bankruptcy or legacy estate of the trustee.

Escrow accounts are kept under par. 50 of Banking Law. An escrow account agreement is flexibly structured and may be a multilateral agreement.

Benefits:

  • Security of settlements between the parties to a trade transaction.
  • Adjustment of the terms and conditions of the agreement to the type and nature of the transaction.
  • A universal legal structure and relatively low price as compared with similar banking products, which protect trade transactions, e.g. guarantees.
  • Improvement of commercial and financial credibility of the transaction, especially in case of new trade relations.

Scheme

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Channels of access to product information

Internet

Wherever you are, with internet access, you can check account balances and history on a 7/24 basis, also viewing information concerning other products i.e.: cards, loans, guarantees and letters of credit, standing orders or term deposits.

Corporate Branch

Get detailed information about Bank Millennium products by contacting Advisors in the Corporate Banking network.

Contact with Advisor

By phone

Our Consultants will provide you with detailed information and will carry out your instructions. 

801 31 31 31
line available for fixed-line and mobile calls

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Questions and answers

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  • 1. Can a trust account agreement be signed with the trustor?

    A trust account agreement is signed only between the Bank and the account holder i.e. the trustee, while the trustor is only informed about the terms and conditions of the agreement. Under the agreement the Bank keeps the money deposited by the trustor until the trustee has fulfilled the contractual terms and conditions defined between the parties. Fulfilment by him of the above terms and conditions is the basis for the Bank to pay out the money to the trustee.

  • 2. Is money deposited on the trust account protected?

    Putting a "certified date" on the trade agreement means that money deposited on the trust account by the trustor is not subject to seizure if execution against the trustee is instituted, nor does it make part of the bankruptcy estate if his bankruptcy is announced.

  • 3. Is money deposited on an escrow account protected the way money deposited on a trust account is?

    Money accumulated on an escrow account is not protected to the same extent as with money on a trust account. Because there is considerable freedom in tailoring the wording, which governs release of the funds as well as the scope of activity of the Bank as the transaction controller, it should nevertheless be considered that these accounts are an attractive tool to increase security of transactions, thus contributing to greater trust between counterparties.

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