It is crucial to have Lasting Powers of Attorney (LPA) in place. Many think that this is something which can wait until they get older or if they begin to show signs of dementia. However, the need for having a valid LPA in place can strike at any...
Bare Trust | This is a basic Trust in which a beneficiary has an absolute right to the capital and income from the trust assets. Those assets are held by a trustee for the benefit of the beneficiary. |
Beneficiary | Somebody who benefits under the terms of a Trust. |
Discretionary Trust | A Trust in which the trustees have discretion as to which of the potential beneficiaries they benefit. |
Fiduciary Duty | The duty of acting for the benefit of another party, eg. the relationship between trustee and beneficiary. |
Interest in Possession Trust | Another name for a Life Interest Trust. |
Life Interest Trust | A Trust which allows the life tenant beneficiary to enjoy trust assets and/or income from them during their lifetime. After the life tenant dies, the assets pass to other beneficiaries (the remainder beneficiaries). |
Settlor | Someone who establishes a Trust. |
Trust | The transfer of assets to trustees who hold those assets for the benefit of others. Can be made in your lifetime by a Trust Deed or to take effect after your death in your Will or under the rules of intestacy. |
Trustee | A person who holds or administers property or assets for the benefit of a third party. |