A custody contract is an agreement in which an asset or real estate is held in the name of the beneficial owner (beneficial owner). These agreements are usually entered into by public bodies or companies to manage different benefit programmes. In the case of deposit agreements used for benefit programs, the custodian raises funds from staff through regular salary deductions and invests the money; All fees related to these agreements are generally lower than those that would be charged to each investor. Under such an agreement, a custodian bank may be required to notify the Internal Revenue Service of any distribution of the accounts or assets it supervises. However, it is not necessarily the duty of the depositary to explain why the distribution was made. .