A living trust can become a problem, if it isn’t created with good advice.
A living trust needs careful preparation or an estate may face probate, according to the Napa Valley Register in “Avoid this living trust problem.”
The problem can result from people buying living trusts through non-attorney trust mills, online legal form services or even some non-specialist attorneys. At the same time such a person creates a trust, a simple pour-over will is also created directing that the entire estate is subject to probate should “pour-over” go into her trust. Unfortunately, for the estate to be placed into a trust, as the pour-over will directs, the estate must first go through probate. This defeats the entire purpose of creating the trust.
An estate planning attorney can advise you on creating an estate plan with a living trust that can help avoid probate.
Reference: Napa Valley Register (March 22, 2018) “Avoid this living trust problem.”
