The Advantages of a Revocable Living Trust
Revocable Living Trust Defined A trust is an agreement that determines how a person's property is to be managed and distributed during his or her lifetime and also upon death. There are two basic steps in creating a revocable living trust: An attorney prepares a legal document called a "trust agreement" which is signed by the Grantor and the Trustee (often the same person) The Grantor transfers property to the Trustee to be held for the benefit of the beneficiary or beneficiaries named in the trust document. Once you have created a Trust, if all property is successfully transferred into the name of the Trust, your assets upon your death will be distributed in accordance with the provisions of your Trust, free and clear of probate. Advantages of a Revocable Living Trust Cost - You will avoid probate expenses (i.e. court costs, attorney fee and administrative expenses) Privacy - Your assets and the distributive portion of your trust is kept private