Do deposits in registry of courts earn interest?
Deposits into the registry of courts do not earn interest automatically. Funds have to be invested to earn interest and a court order is required for investing funds deposited into the registry of courts.
What are the requirements to get the registry deposits invested?
Items required are a court order directing County Clerk to invest funds, date of birth, social security number and address of the minor involved. If there is no minor involved, items needed include court order, name and tax identification number of the person or entity for whose benefit the funds have to be invested. Responsible party should complete a registry information sheet as soon as the judge signs the order for investment.
Where does the County Clerk invest the funds and what interest will be earned?
County Clerk selects the bank or financial institution that pays the best available interest and ensures that the funds are federally insured.
What are the requirements to get funds out of courts registry?
Deposits will be refunded only by a court order. Proof of identification is needed for disbursement.
How do we know how much interest is earned on invested account?
In January of every year, form 1099 INT issued by financial institutions indicating interest earned during the previous calendar year is mailed by the County Clerk to each account holder. If anybody desires to know account balance before receiving form 1099 INT, they can obtain it by calling the Trust Department.
What are the fees charged by County Clerk on registry fund deposits and disbursements?
No fees are assessed at the time of depositing funds to the registry of court. Sections 114.054 and 114.055 of Local Government Code permits County Clerk to deduct administrative fees of ten percent of the interest earned on invested funds or five percent of the deposit for a maximum of $50 if funds are not invested. These fees will be deducted when disbursement is made from registry of court. |
