What are the steps to setting up a blind trust?
What are the steps to setting up a blind trust?
In general though, the steps to set up a blind trust are as follows: Gather the documentation for the assets that you want put into the blind trust. This could mean certificates of stock ownership, bonds or real estate deeds. Appoint a trustee. This is the person who will have total control over the assets you are putting into the trust.
Do you need an attorney to sign a blind trust?
Create the blind trust agreement. During this stage, you may find you require the assistance of an attorney. Finalise and sign the trust. When doing this, it’s also essential to ensure that you have it notarised. At this point, you’ll be required to officially transfer all relevant assets into the blind trust.
Who is the beneficiary of a blind trust?
Lottery winners typically hire a lawyer to serve as the trustee and they name themselves the trustor, or grantor, and beneficiary. Government officials must have their qualified blind trusts approved by the Senate Select Committee on Ethics prior to execution.
Can a blind trust be changed at any time?
A blind trust can be revocable, meaning the grantor can change it later, or irrevocable, meaning it can’t be modified or terminated. At first, the idea of putting assets into a trust and then relinquishing all knowledge and control of those assets might sound crazy.
In general though, the steps to set up a blind trust are as follows: Gather the documentation for the assets that you want put into the blind trust. This could mean certificates of stock ownership, bonds or real estate deeds. Appoint a trustee. This is the person who will have total control over the assets you are putting into the trust.
Can a creator serve as trustee of a blind trust?
Second, the creator cannot serve as the trustee of a blind trust. With a blind trust, the trustee makes all the trust’s asset management decisions and the creator does not know what property the trust holds or what investments the trustee makes.
A blind trust can be revocable, meaning the grantor can change it later, or irrevocable, meaning it can’t be modified or terminated. At first, the idea of putting assets into a trust and then relinquishing all knowledge and control of those assets might sound crazy.
Can a grantor of a blind trust remain anonymous?
In addition, the grantor of a blind trust may choose to remain anonymous. This doesn’t mean the trustee can do whatever they like with trust assets, however. As with all trusts, the trustees are fiduciaries, which means they’re required to act in the best interests of the trust beneficiaries.