Rama chary Rachakonda
(Master in Accounts & Lawyer email ID:ramachary64@gmail.com voice no:9989324294)
(5128 Points)
Replied 28 April 2023
An educational trust specifies that trust funds are to be used for education. In the trust document, the grantor names a trustee and beneficiaries, and also states how trust money is to be used. If the trust will become operational immediately, then the grantor "funds" the trust by transferring property into it. If the trust becomes operational upon the grantor's death, then the trust is funded when the grantor dies. When the trust becomes operational, the trustee controls trust property – and pays for the beneficiary's education -- according to the terms of the trust.
Trust property refers to the assets placed into a trust, which are controlled by the trustee on behalf of the trustor's beneficiaries.
A settlor may decide to leave the Trust intact, with the Trust Deed in place, and simply transfer it to a new Trustee or the second way to transfer the assets of a Trust to a new one is to wind up the old Trust and transfer the assets to a new Trust. In both ways, you can transfer the assets to new trusts .
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