What is a Trust?
Trusts can be used to control the distribution of a persons (the Settlor’s) property and assets. This is achieved by either the creation of a Trust within a Will or by a separate Trust Deed.
There are numerous different types of Trust’s, some are designed to come into force in the event of death others form part of an individuals lifetime planning.
Trusts can be created to benefit the Settlor (the person placing the assets into trust) or for bloodline planning purposes to benefit a surviving spouse, children and grandchildren.
When a trust is created the Settlor nominates Trustees and lays out the terms of the Trust, these terms should confirm who the beneficiaries of the Trust are, how the assets are to be distributed and what duties and powers the Trustees have.
A Trustee is an individual who takes legal title to the property held within the trust and carries out the Settlors Trust Terms, distributing assets to Beneficiaries, they do not have any right to any benefits from the property held in Trust.
When planning to set up a Trust It is always advisable to seek advice from a professional Estate Planning Company or Solicitor to discuss your wishes in full and ensure the correct Trust is put in place.