In California, a living trust presents estate owners with a beneficial opportunity for protecting their assets. The probate process allows creditors to place liens against the estate and seize assets to pay off outstanding debts. A trusts attorney in Redlands, CA discusses vital details about the living trust with estate owners.
What Assets Aren’t Allowed in a Trust?
Estate owners face some limitations when creating revocable trusts or living trusts. State laws prevent the owners from adding life insurance policies and retirement plans to the trust. Since the assets aren’t allowed into the trust, the estate owner must find another option to protect the assets.
Who Is Eligible to Be a Trustee?
Anyone who is an adult at the time that the trust is established. Estate owners can choose a family member, corporation, or literally anyone they trust to become the trustee for their trust. When the estate owner dies, the trustee takes over the trust and obtains control over all of the assets.
What Are the Major Benefits of a Living Trust?
A living trust prevents the assets from going through probate. The heirs get their inheritance immediately after the estate owner dies. An executor for the estate reads the documentation for the trust and explains the details to the estate owner’s family.
The estate owner can change any transfer into the trust, the name of their trustee, or even end the trust at any time. They have full control of the trust throughout their lives.
Why Should the Estate Owner Create a Will?
The trust documentation won’t explain the estate owner’s final wishes. If the owner needs to assign ownership to additional assets, the new assignments are addressed in the will. Any monetary assets and the owner’s final wishes are addressed in the will, too.
In California, a living trust is a beneficial tool for protecting all assets owned by a consumer or business. When transferring the assets out of the estate, they are protected from the probate process and aren’t at risk of seizure. Estate owners who want to learn more about living trusts can contact a trusts attorney in Redlands, CA or click here for more details now.
For more information visit us on Facebook.
