Can Trusts Protect Certain Assets from Bankruptcy New York?

Can Trusts Protect Certain Assets from Bankruptcy New York?

Estate planning is an important part of an individual and their family’s life. The process can be complex, but typically, it will begin with creating a will. There are various personal documents that must be included in an estate plan to ensure that will be stable for years to come. Trusts are one of the most important documents and can allow an individual to protect their assets from legal trouble while also protecting their assets for their beneficiaries. If you have questions or concerns regarding the differences between revocable and irrevocable trusts or would like to learn more about how trusts might protect certain assets from bankruptcy, contact our firm today. Our seasoned New York estate planning attorneys are equipped with the knowledge and dedication needed to ensure that you and your family’s future is protected. Keep reading to learn more about trusts.

What is the difference between revocable and irrevocable trusts in New York?

There are two different kinds of trusts in New York: revocable and irrevocable. Revocable trusts allow the individual to maintain control over their assets until the time that they pass away. After they have passed, their assets will immediately transfer to the beneficiaries they chose when formulating their trust. In contrast, an irrevocable trust conveys ownership of the assets to the beneficiaries right away. In some cases, a spendthrift provision can be joined to the irrevocable trust to guard it against credit seizure, in the event that the beneficiary has to file for bankruptcy.

Do not hesitate to contact our firm today to learn more about the difference between revocable and irrevocable trusts in New York. Our legal experts are committed to ensuring that your choice is the best one for you and your loved ones’ future.

What are the benefits of creating trusts in New York?

The benefits of creating an irrevocable trust in New York include, but are not limited to:

  • Asset protection
  • Charitable estate planning
  • Estate tax reduction

There are also many gains to planning a revocable trust. Some of them include the following:

  • They allow you to plan for potential mental incapacitation
  • They help your family avoid the probate process
  • They can help you protect your privacy

If you are unsure about which trust will work best for you and your family, do not hesitate to reach out to one of our legal experts. Our firm is experienced in this field and can assess your situation and come up with options that will be the most beneficial for you and your family’s future.

Contact our Firm

If you or a loved one needs assistance creating an estate plan and wishes to speak with an experienced attorney, contact the Law Office of Andres D. Gil, PLLC today.

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