An arrangement in which a person’s property or money is legally held or managed by someone else or an organization (such as a bank) usually for a set period of time is a Trust. Trusts are managed by Trustees and are set up best serve the beneficiary’s interests. The Trust is a legal document that tells the Trustee how to handle the money and assets for the beneficiary according to the Trustor’s wishes.
Words commonly used with this term include:
- Trustor
- Trustee
- Living Trust
- Disbursement