Types of Trusts
There are many different types of trusts available in California. There are revocable living trusts, irrevocable trusts, qualified personal residence trusts, and spendthrift trusts to name a few.
Revocable living trusts transport ownership of assets upon the settlor’s passing. The settlor can control the assets held in the trust during their lifetime. They can also change or cancel the trust at any time.
Irrevocable trusts, on the other hand, cannot be canceled or changed at any time. The settlor of the irrevocable trust gives up control and ownership of the property within the trust. In limited circumstances including child support or alimony, creditors do not have access to the assets held in the trust because the settlor does not have direct access.
Deciphering which trust to form, if any, requires thoughtful attention and consideration.