discretionary probate trust ?

[black1]

ok bit of advice needed here what are the pros and cos of a discretionary probate trust.
are they all good news ?

thanks in advance

[RESSE]

A trust where the trustees have discretion over the distribution of the income and capital of the trust, including the right not to appoint the income but to accumulate it instead.

The powers of a discretionary trustee may extend to deciding the persons who will benefit from the trust.

The following types of trust are excluded from the definition of a discretionary trust:

- accumulation and maintenance trusts
- trusts for bereaved minors
- charitable trusts
- most employee trusts
- registered pension schemes
- trade or professional compensation funds

[anonymous-user]

they can save a little bit of time in getting some money into the hands of the beneficiaries of an estate for which the granting of probate is expected to take a long time

that is the main purpose I have seen them used for

most of them are not good for the purpose that most people look to set up a trust for... IHT 'avoidance'

proceed with caution would be my only advice on the matter

[black1]

thanks jp not trying to avoid tax,just my mum is losing the plot now and im trying to put
it away so nobody can rip her off and so i can get me money quick lol

so for that reason do you think they are a good thing ?

[anonymous-user]

black1 said:

thanks jp not trying to avoid tax,just my mum is losing the plot now and im trying to put
it away so nobody can rip her off and so i can get me money quick lol

so for that reason do you think they are a good thing ?

I am not in a position to advise properly, but its certainly one of the options to consider

its worth considering a power of attorney in such circumstances - can make getting things done easier

Despite the plethora of ideas, trusts, bonds and other schemes around for managing the towards the end of life money issue, its hard to beat the 'give it away and live 7 years option' in most cases

look after your mum