2006-10-04 05:50:38 · 5 answers · asked by Anonymous in Politics & Government ➔ Law & Ethics
To allow a persons assets to be passed down without having to be inspected by a probate court.
2006-10-04 05:57:58 · answer #1 · answered by Chris J 6 · 4⤊ 0⤋
There are various kinds of trusts; including "living trusts" that are established while alive & "testamentary trusts" that are created by a will. The purpose of all family trusts is for the creator ("settlor") to control his assets from the grave.
There are a LOT of people selling "living" trusts by scaring people about probate when they die. In my experience about 75% of the trusts set up by average people are a complete waste of money & often cause more problems & expense than they solve. For most people, a properly drafted will and other planning (such as designating insurance beneficiaries & re-titling property) is a more efficient & much less costly way to dispose of assets after death. In cases where benficiaries may be minors, testamentary trusts, serve the purpose.
2006-10-04 13:06:15 · answer #2 · answered by Anonymous · 1⤊ 0⤋
The best answer is to talk to an Attorney. They will give the complete insight into a Family Trust. Click the link below if you need an Attorney at a low price.
2006-10-04 13:34:21 · answer #3 · answered by Anonymous · 1⤊ 0⤋
A trust allows yourself or family members to care for those you leave behind through a trustee. Imagen you have children and you want to make sure they are cared for. Imagine that you cannot predict the future (you can't). Imagen you have an inheritance or life insurance policy. Imagine that you have family members who are potential candidates to care for them in the event of your passing. You want your child to directly benefit from your estate, and not necessarily those caring for him or her. Instead of leaving all your money to someone you hope is willing and able to care for that person, you create a trust that will dispense money to the caregivers on YOUR terms. If that caregiver is deemed unfit or unwilling to properly care for those you leave behind in the event of your passing, you have alternate arrangements provided for. The other advantage of a trust over leaving money to someone else is that the family member you would be leaving the money to won't have to pay taxes on money that is expressly for your child
2006-10-04 13:13:09 · answer #4 · answered by dat 3 · 1⤊ 0⤋
I would give you the links that the US government has provided to the public answering your question but yahoo answers says that providing links with the proper answers to questions is spamming and they rather just have written answers from sources that are not qualified to provide such answers
2006-10-04 12:59:14 · answer #5 · answered by newmexicorealestateforms 6 · 1⤊ 1⤋