The Washington times., 1925-04-23
TRUST COMP ANY
SERVICES
MANY
Administration of Estates Is
Important Among
Activities
By RICHARD HATTON.

BY RICHARD HAIAON.
The desirability Of naming banks
and trust companies as administrat-
ors and executors of estates 10
being realized more and more by
the people of this country, accord
ing to local trust officers and
bankers who find that the public
q responding to the general pub
licity campaign which has been In
progress for some time, pointing
out the advantages of this form of
fiduciary service. According to the
same officials, however, there are
atill a great many people who have
failed to learn the lessons in the
losses to estates through no wills,
faulty wills, stale wills or from
the appointment of poorly qualified
executors and trustees.
Writing upon this subject in
Trust Companies Francis H.
Sisson. vice president of the Guar
antee Trust Company, of New York,
says Of the recent publicity effort,
THE result of this effort has been
to impress upon hundreds of thous-
ands of persons certain facts in re-
garo to the protection of estates
in general and OF their own estates
in particular. Action has followed
these Impressions as new appoint
ments OF trust companies have
the United States. Greater protec-
ton to heirs is a direct. result
Viewing this work in its broader
phases, millions of dollars, which
might otherwise have been en-
dangered in inexperienced hands.
Or which might have found their
way into non-productive enterprises,
will be turned into productive
channels .
Few Understand Functions.
Speaking of the. fiduciary func-
tons Of a trust company, today,
Vice President Frank A. Stone, of
the National Savings and Trust
Company, said, Few people, com
paratively speaking, understand the
functions OF a trust company. In
dividual executors and trustees
may die, but a trust company con-
tinues its protective functions IN
definitely. Estates left in trust are
protected by law and by the ex-
s)erfence of trust company officials
who are unmoved by sentiment and
who are compelled to carry out the
wishes of the decadent.'
Calling attention to the protec-
ton provided by trust companies
IN the handling OF estates, Vice
President C. H Pope. OF the Nun
sey Trust Company. cited the fol-
lowing as an example Of what may
occur when such protection is
lacking: "One Of our depositors,"
he said, was killed in an automo-
bile accident recently. His life was
insured for $4,000. The insurance
company displayed its ability to
pay the death claim by Immediately
giving the widow check for the
$4,000. This was of considerable
relief to her for the time being, but,
also, great responsibility. Her
mind was temporarily affected by
the bereavement and she was in
no mental state to handle any large
sum of money. It was not long
after the death of her husband that
she lost almost all of the $50.
Cases Are Numerous.
There are numerous cases of
this kind in Washington as well
as all over the country and insur-
ance companies are trying to work
with banks and trust companies
with a view TO aiding the unfortun-
ate widow. Above all things, she
should be protected against wild
cat investments, especially at such
times. because, having lost the earn
ing power of her husband, she is
more susceptible to the alluring
promises Of large dividends"
"If a trust company could be
made the beneficiary for the widow
and the children under life insur-
ance policies of this kind, such
losses would be eliminated"
ftY1
people are coming to realize the
great protection provided by trust
companies in acting as fiduciaries
Is the opinion expressed by vice
president Howard Moran, of the
American Security and Trust Com
pany, today. Mr.. Moran said:
Most people have not given the
matter of the fiduciary service of
trust company sufficient thought.
but / believe the public is coming
more and more to realize the ad-
vantage and security of this service
I find that the public is being
educated to the need for security
and safety in handling estates and
Is turning to the expert manage
ment offered by tTust companies"
Field is Large.
Stressing the facilities for sue
cessfully handling estates which
obtain in trust company organiZa-
tions, vice-president Andrew Parker,
trust officer of the Washington
Loan and Trust Company, declared
that probably no one factor has
led thinking people to utilize trust
companies and banks In fiduciary
capacities more than has the order
~ equipment of such institutions