What is a Revocable Living Trust?
A revocable living trust is a legal arrangement between two parties. The first person - referred to as the grantor - establishes the trust. The second party, the trustee, holds and manages assets to benefit a third person - the beneficiary. The name says "living" because this trust takes effect as soon as the grantor creates it, and will continue during the grantor's lifetime (and even beyond if that is the grantor’s desire). The grantor can amend or revoke (“terminate”) the trust at any time.
Who should use a Revocable Living Trust?
Individuals that want to revise a trust to keep up with changes in your finances or family should consider a revocable living trust. A revocable living trust has many advantages - providing continuity of investment management, protection for your financial affairs if you become disabled, simplified management for your estate, and more. You always have overall control because of the continuing option to make changes as needed.