Trusts

What is a Trust?

Is a legal transaction through which a legally authorized natural or legal person, named TRUSTOR transfers goods or rights to an independent patrimony administered by a FIDUCIARY so it uses them in a prudent and diligent way in the attainment of allowed and predetermined intentions in a contract, in favor of the same TRUSTOR or of a third called TRUSTEE.

It is a highly sophisticated and efficient business, and has the capacity to be adapted to the needs and objectives of who requests it, always keeping, as main intention, the protection of the goods and rights that have been entrusted into it.

Which are the personal elements of the Trust?

The trustor: Is the natural or legal person who constitutes the trust contract and that transfers goods of his patrimony, in fiduciary property, to the fiduciary, for the fulfillment of the purposes for which the trust was created.

The fiduciary: Is the natural or legal person to whom they transfer the goods to in a fiduciary property, on the part of the trustor, so that he administers them and fulfills the purposes of the trust, pre-established in the subscribed contract. He assumes respect to the trusted patrimony, the obligations of "good family man with own properties". It can be a natural person or a legal person.

The trustee or beneficiary: Is the natural or legal person in favor of whom the trust contract is constituted. The Fiduciary commits itself to give the goods of the trust, at the moment that the contract establishes it.

What is the most important thing that a Trust offers?

The constitution of a Trust offers the client, confidence, certainty and legal security in the operations performed, and that can not be reached by other traditional figures. It acts like a good family man would act, in fulfillment of the acts, rights and necessary actions, for the attainment of the purposes of the trust, creating with it an independent patrimony, different from the one of the Trustor, Fiduciary and Trustee.

Who is it directed to?

The Trusts are directed mainly to the Institutional and Corporative segment. Nevertheless, depending on certain characteristics, it is also offered to natural persons.

¿Benefits of the product?

• The Trusts are businesses whose administration is based on the fidelity and the confidence.
• The business is prepared according to the needs of who requested it.
• It is formalized through a Contract.
• Total separation between the goods of the Fiduciary and the Trustor.
• Offers a clear account balances.
• The goods that are part of the patrimony of the Trust are unattachable.
• Professional and customized handling of the investments, accountability registries and safekeeping of values.
• Available in Colones as well as in Dollars.

Characteristics of the product?

• It is a Typical Contract and Mercantile (is regulated in the Code of Commerce).
• It is formalized through a Contract between the parts.
• It must have a certain allowed purpose.
• Independent patrimony.
• Accountability handling according to it´s characteristics.
• They can be Inter Vivos or Mortis Causa.
• The Fiduciary must act with the required diligence in his position.
• Professional and described administration of the businesses.

Fares and/or Costs

A honorary fee is charged in the Trusts in accordance to the "Regulation of Fares and Commissions of the Banco de Costa Rica"

Advantages for the Client

• Product administered by a secure Bank, confident, profitable, and with financial solidity.
• Wide national coverage, offering in its administration the stability of the Fiduciary.
• The purposes can be of any nature, and according to the will of the Trustor, as long as they are allowed and possible.
• Availability of the resources, assuring a correct application of the invested funds.
• Speed and accuracy in the contemplated payments.
• Transparency in the control, professional and integral administration of the goods, with opportune and truthful information respecting to the handling of such.
• Excellent relation of coverage between the patrimonies of the Banco de Costa Rica versus the trusted patrimony.
• Trained staff with experience in the administration of fiduciary orders.
• Permanent advisory in Fiduciary and Stock market matter according to the needs.

Requirements

a) Minimum amounts to open a trust business

Legal persons and public institutions
In Dollars $500.000.00 (*)
In Colones ¢500.000.000.00 (*)
Natural persons
In Dollars $100.000.00 (*)
In Colones ¢100.000.000.00 (*)

(*) These amounts are subject to valuation of BCR Trust depending on the type of business that is and which is the perspective of growth in the medium and long term. Additionally the margin of contribution of the client - trustor is evaluated with the Banco de Costa Rica, to analyze its business from the integral point of view. 

b) Legal

1. Preferable, the client must present a letter of request or intention of the service, that allows us to evaluate the business.

2. Contract of Trust signature with the Banco de Costa Rica.

3. All norms in the Code of Commerce and their reforms, Regulating Law of the Market of Securities, Statutory law of the National Banking System, the Civil, Normative Code and Circulars and Law on Substances, Drugs of non-authorized use and activities of the SUGEF and the SUGEVAL in the matter, Internal Norm of the Banco de Costa Rica, and what the secure banking practice advises.

Fiduciary Services

* Trusts of Administration

In the Trusts of Administration, the Trustor, would transmit to the Fiduciary all the administration and direct handling of his goods, trusting them the security of a serious and specialized institution in the financial system, and that in addition is put under rigorous controls of the State. Also, as the goods of the trust leave the personal patrimony of the Trustor totally, these are guaranteed before the eventualities or contingencies that can affect the personal patrimony of the Trustor.

* Trusts of Investment

If you are a natural person oriented to save, but you require additionally an excellent investment, with an efficient administration of your resources according to their instructions, this is the perfect mechanism adapted to your needs. And if you are a legal person or an Institution of the State, the Trust of Investment serves to give you agility, transparency, and to reach the necessary funds, directed to the purpose that you have selected out or what the Law of the Republic arranges.

The Trust of Administration and Investment consists in the administration of liquid resources, to use them for productive activities, so that they can derive into attractive results. For that reason, the administration, with the intervention of the Trustor can be combined, which can form a Committee of investment that in certain cases can take part with the fiduciary organization to decide investments over the established levels, or like consultative groups, in an wide range of investment options.

What this type of trusts looks for is to administer the resources in such ways that optimal results can be obtained that can be  disbursed or capitalized according to the instructions of the trust.

 * Trusts of Guarantee

The Trusts of Guarantee are constituted by a natural or legal person who already is, or who is going to become indebted of an obligation, generally credit. In this case the Trustor transmits to the Fiduciary the title of goods, designating like as trustee or trustees of those goods the person or people who are going to be their creditors. The essential purpose of this type of trusts is to guarantee the creditors of the Trustor that, in case of unfullfilment of such in the attention of his debts, the Fiduciary will come to execute the goods trusted according to the terms and conditions settled down in the Contract of Trust, towards his product to pay, in proportion, the debts of the Trustor that have been guaranteed with the patrimony of the trust.

* Testamentary trusts
The Testamentary Trusts are a modality in which the Trustor being in life constitutes a trust, contributing certain goods, so that, at his death, the Fiduciary gives them to the people whom he has designated as trustees. These goods leave from the patrimony of the Trustor, being that to his/her death; the trusted goods do not comprise the successory process, and are distributed by the Fiduciary, according to the instructions that the Trustor has established, without any requirement more than the proof of the death.

* Public Trusts

Are Trusts whose Trustor is the State, through anyone of the Institutions that conform it. They are generally Trusts of administration and investment, and the purposes are normally for the development of Public Work, expropriations, administration of Portfolios of Credit for development or employees, administration of Funds created for unique purposes, etc.

 

For more information contact us: ServiciosBancaElectronica@bancobcr.com
Telephone (506) 2284-6600