Buying an aircraft and maintaining it in the United States involves a lot of paperwork and you may feel the need to have a trustee handle everything on your behalf. Aircraft trust companies often make lucrative offers to attract potential clients. In Oklahoma City, there is a bunch of trust companies to choose from. But make sure you do not get entrapped by fraudulent service providers. It is difficult but not impossible to detect counterfeit companies out of the group.
The FAA only controls documents from the aircraft registration process and aircraft trust companies take care completing the process of filing them out on your behalf. But the FAA’s job role is not to verify the companies that offer this service. The FAA does not check the companies who apply to register an aircraft, unless, there is something extremely serious. The state banking commissioner or the honorable court of the company’s state of incorporation, grants a trustee as an authorized corporation. The FAA does not ask for verified documents issued by the state government from the aircraft owner trust. Many fraudulent companies take advantage of this, so if the wording of the companies name includes ‘Trust’ or ‘Trustee’ it does not necessarily make them reliable.
A valid trust company should have $500,000 to $1,000,000 capital reserve; the state banking commissioner should verify this. The state banking commissioner routinely examines or can ask trust companies to show proof of funds or the latest audit report.
Many of the illegal aircraft trust companies try to compete with cost alone and sacrifice the service costs resulting in a slower service. It delays documentation, registration and of course, you will see a lack of professionalism.
How to Protect Yourself
If you do not want to be deceived, ask for a written note from the state banking commissioner or proof of their accounts. Ask for their clientele and contact them for a reference. Do not hesitate to ask about capital reserve requirements, if they have completed it or not.
Do not make a fool of yourself when you see the company claiming to be a trustee. Make your own verification as much as possible and make a decision. You can contact us, Aviation Trust Company. Being one of the most reliable aircraft owner trusts, you can ask them to register your airplane with the FAA.