Updated: Mar 17, 2020
Knowing the terms and definitions of important aspects of your Michigan trust helps you do the necessary homework to prepare for your meeting with a Michigan trust lawyer.
One of these key terms is the grantor. The grantor is the person who creates the Michigan trust. The purpose of creating that trust is to add privacy and some layer of control for how you’ll pass on assets. The assets must be re-titled in ownership and then moved into the trust for the benefits of the trust to be effective.
The grantor is the effective decisionmaker at the time the trust is created. That person decides what property gets included in the trust and who the beneficiaries will be. The grantor also maintains a lot of power in a revocable trust since the trust can be updated based on his or her wishes in the future.
In some cases, you might also hear the grantor referred to as the settlor or the trustor. All of these terms essentially mean the same thing in reference to the creator. Grantors have a lot of discretion in these living trusts. A grantor of a revocable trust can even change the beneficiaries or remove someone from the trust entirely. This same person can also give instructions to the trustee about changes that the creator wants.
If the grantor is still deemed mentally competent at the time they wish to make a change or undo a trust, they are eligible to make those changes, too. Schedule a meeting with a Michigan trust lawyer to discuss which kind of trust is the best fit for your needs.