Private Trust vs Wills - Which is the Right Option for you?

Every person wants to pass down the assets owed by them to their loved ones in a very smooth manner. There are various ways of achieving this and two of the most common financial instruments that a lot of people use to pass down their assets are private trusts and wills. Hence, if you also want to pass down your assets to your loved ones then you can contact Dilip Balakrishnan who can assist you in making the private trust and will for yourself.

However, most people do not know the difference between a private trust and a will and what kind of benefits they provide. You see, the arrangement in which your assets will be managed on your behalf by someone else is commonly referred to as a private trust and wills are documents that outline how you want your assets to be distributed after you are no longer with your loved ones.

One of the most important key differences between private trusts and wills is when and how will they take effect. Wills are generally a simple process and allow you to designate where you want your assets to go only after you are no longer in the world. On the other hand, private trusts are a little more complicated but provide a lot of benefits. Generally, private trusts become effective immediately upon signing and funding it.

Private trusts also come in various forms and offer you greater control over when and how you want your assets to be distributed. Private trusts are also applicable to any kind of asset that you might own and can be distributed however you want.

Although wills are generally a more simple process, in wills your assets will go through a probate process after you are no longer in the world. This means, wills are generally more time-consuming and sometimes even more expensive. On the other hand, private trusts typically avoid any kind of probate, hence if you go for a private trust then it can save you a lot of time and money.

There is no definitive answer to which one is better between private trusts and wills, and it totally depends on your situation. You should assess the benefits of both financial instruments and decide for yourself which will be more beneficial for you.