Bank is pushing back on opening account for plan

[BG5150]

I have a plan that is terminating and has liquidated all its assets that were held at a national carrier earlier this year.  Funds were disbursed properly, per participant instructions.

They did this before we could calculate the 2019 Safe Harbor contribution for them.  The national carrier, as expected, is reluctant to re-open the plan.

Our solution was to just have the client open up a bank account using the TIN obtained for the trust.  The bank cannot seem to understand the nature of this transaction and is saying they need to "register" the the name as a new entity thru their CPA.  And they said "alternatively, you can have business documents registered (articles of incorporation or short form) to the name [you] are looking open the account under." [sic]

Any talking points to get these guys off the ledge?  I've never had such trouble (or, rather had a client get so much push back) trying to open one of these accounts.

This is a big, international bank, so I'm mystified as to why they cannot understand the process.

[Larry Starr]

1 hour ago, BG5150 said:

I have a plan that is terminating and has liquidated all its assets that were held at a national carrier earlier this year.  Funds were disbursed properly, per participant instructions.

They did this before we could calculate the 2019 Safe Harbor contribution for them.  The national carrier, as expected, is reluctant to re-open the plan.

Our solution was to just have the client open up a bank account using the TIN obtained for the trust.  The bank cannot seem to understand the nature of this transaction and is saying they need to "register" the the name as a new entity thru their CPA.  And they said "alternatively, you can have business documents registered (articles of incorporation or short form) to the name [you] are looking open the account under." [sic]

Any talking points to get these guys off the ledge?  I've never had such trouble (or, rather had a client get so much push back) trying to open one of these accounts.

This is a big, international bank, so I'm mystified as to why they cannot understand the process.

Because it is a big, international bank. The bigger they are the stupider they always are!  

Don't bother arguing; find a different bank.  A small regional bank or a credit union is your best bet.

[david rigby]

I may have a couple of suggestions, depending on what state the ER is located.  If desired, you can send me a private message.