A living trust is a written agreement made by an individual appointing a so-called successor trustee to oversee his properties upon his death.The assets and funds will then be transferred to the beneficiaries of the owner according to the specific time that he indicated in the legal document.
Making a living trust is complex and it may get complicated because it entails separate paperwork and other necessary transactions.And so to ensure that you will be doing the right thing, it is highly recommended that you consult a lawyer.An attorney will be able to explain to you all the important things that you need to know about a living trust.He will also be able to walk you through the entire process.
Often, there are confusions between a will and a living trust.A will is also a written legal document that serves as a plan as how you would like your properties and funds to be distributed among your beneficiaries.You the designate an executor who will make sure that your wishes on your last testament will be executed.This though is through a court procedure.
Here are the notable good things about having a living trust.
It is true that writing a living trust is complex, and it could cost more than just the mere writing of a will.But at the time of your death, it will help your family and beneficiaries to save money because a living trust does not go through the probate process, unlike the last will.
The last will is made open to the public upon your death as well as all the transactions involved while a living trust remains private among your family members.Your properties will be distributed to your beneficiaries discretely.In some way, this also protects the security of your loved ones.
NO COURT INTERVENTION
If, for some reason you get disabled or, your trustee can take over your financial expenses and other affairs without reporting such matters to the court.A living trust is revocable, and so once you get capable, you have the right to take control again.
DOES NOT GO THROUGH PROBATE PROCESS
Living trust does not require a court procedure since you have designated a successor trustee that will take over your position.It is then faster to allocate your assets to your heirs.