A “Trust” is a fairly common legal term that most people have heard, but don’t necessarily understand what it means. This article will discuss: What a Trust is and an overview of some of the protections that a trust offers.
A Trust is a legal instrument whereby a person, called the grantor or settlor, gives property to another person, the trustee, to be held for the benefit of a third person, the beneficiary. Trusts take numerous forms, and can be created both during your lifetime, and following your lifetime if laid out in your last will and testament. Trusts are flexible instruments that provide creditor protection and additional control over your assets after your passing.
Why use a Trust?
One of the main reasons, to include a trust in your estate plan is to avoid probate. Probate is the process by which the court orders the disposition of a deceased persons assets. This process is often expensive and time consuming. Many of our clients, would like their heirs to be able to focus on mourning their passing and celebrating their life instead of having to deal with the headache that is probate. If an individual has a properly set up estate plan that includes a trust, their assets should be able to pass without any assistance of the court. Real Estate is the most common type of asset that needs to be probated to pass to an heir. In Florida, transfer on death deeds are not valid so placing the property in a Trust is an effective and legally valid way to transfer property without assistance of the court.
An individual simply has to place the title of the property, like a home, into the name of the trust then the property will be able to pass to whomever is the beneficiary of the trust. This same process can effectively transfer assets such as cars, businesses, real property, and many other types of assets. If you would like to save your family from the hassle of probate contact an Estate Planning attorney, and ask about setting up a trust for your family.
Here at The Weil Law Group, we can help you with your estate plan regardless of how simple or complicated it may be. We also give you a low fixed price upfront. If you have any questions or need any help call 954-603-7603. We are here to help.