What is the difference between an estate and a trust?

An estate and trust are two different legal tools used to manage a deceased person’s assets. In Indiana, an estate is the collection of assets owned by a deceased person that are transferred to another individual, usually through a court-supervised process. This process is called probate. It includes paying off debts, settling legal disputes, and distributing remaining assets to the appropriate recipients. Trusts are legal arrangements that allow a grantor (the creator of the trust) to give assets to a grantee (the trustee of the trust) in exchange for certain services. These services can include managing the trust assets, protecting the assets from creditors, and making sure the assets are passed on to the designated beneficiaries. In general, trusts are more complicated to create but can be more flexible than an estate in how assets are managed. They also help to avoid the probate process, which can be time-consuming and expensive.

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What is the difference between an estate and a trust?

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