How do trusts avoid probate?
Trusts are a powerful way to avoid probate in Washington. Probate is the court-supervised process of transferring ownership of a deceased individual’s assets. It can take time, cost money, and be emotionally draining. To avoid probate, people can create a trust. A trust is a legal agreement between three parties: a grantor, who creates the trust, a trustee, who holds and manages the assets, and beneficiary, who will receive the assets. The grantor specifies in the trust document how and when the assets will be distributed to the beneficiary. When the grantor passes away, the assets are transferred to the trust without going through probate, so the trust assets remain private. Under Washington law, the trust document must be in writing and signed by two witnesses. The trust document should name a qualified trustee, such as a bank or trust company, who will manage the trust assets in accordance with the grantor’s wishes. The trust document also states who will be the beneficiaries of the trust and what type of assets will be placed in the trust. Trusts are an effective way to avoid probate in Washington and can provide the grantor and beneficiary financial and emotional security. When creating a trust, it’s important to consult with a qualified estate planning attorney who can help ensure that the trust is set up correctly and meets state and federal laws.
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