What is the UBB EDUCATION TRUST?
UBB Education Trust serves to provide undisrupted funds for your children’s education plan during casualties to ensure the hope for their bright future will always be safeguarded at all times.
It is no secret that a good education has the power to change life. However, the cost of education has tripled over the last three decades, leaving many students buried in student loans. To help your children start off their adult life without a haunting mountain of debt, it’s worth considering which savings plans can effectively help you save money for their education.
At UBB Amanah Berhad, we offer you a pathway to set aside money for your loved one’s education. There are no two ways about it – raising a child is expensive. This will tide you and your partner over and even more when they leave their nest to pursue their studies. Hence, UBB Education Trust is a safety net where you place a sum of cash in a trust that can be made available to your named beneficiaries to pursue their studies.
WHY DO YOU NEED A TRUST?
A trust is basically a fiduciary arrangement that specifies how your assets will be distributed at the time of your passing, usually without the involvement of a probate court. Unlike a will, a trust is not subject to public scrutiny and can be arranged to accomplish a variety of different objectives.
A trust can be used to help preserve and distribute wealth to meet a wide variety of personal and financial goals. Some people use them to protect assets from future claims while continuing to receive discretionary income and principal distributions from those assets. Others use them to pass wealth to future generations or to provide for charitable organisations.
Trust is also creditor proof as it is legally the asset of your beneficiaries. It is a sum of cash placed in an independent account and accessible to you at all times subject to terms and conditions of the deed.
ADVANTAGES OF A TRUST
In simple terms, assets transferred to a trust no longer form part of the Settlor’s property, so the trust assets cannot be seized if a Settlor gets into financial difficulties.
A legal form of transfer via trust would generally save estate duty and keep the trust assets confidential. Unlike will which is a public procedure.
Protecting the Weak
A trust provides a vehicle by which a person can provide for those who may be unable to manage their own affairs such as infants, children, the elders, the disabled or persons suffering from illness.
Preserving Family Assets
Preserving the family assets, or increasing them, is often a motive for setting up a trust.
Distribute assets to heirs efficiently without the cost, delay and publicity of probate court.
EDUCATION TRUSTS QUICK FACTS
Minimum : MYR30,000.00
Annual fee : 3.5% PA
Tenure : 36 months (auto-renewal)
* The tenure of the trust shall be automatically renewed upon its expiry until the Trust Capital is disbursed in accordance to the deed or upon receipt of a Notice to Terminate.