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Question

What does “possible” mean for creditor and divorce protection?

Answer

When your beneficiaries inherit in trust, they may receive some protection from a creditor or a divorcing spouse if the assets are held in trust. We say “possible” because a beneficiary who controls their trust can withdraw assets and lose that protection. In addition, laws can change over time or vary across states—just because an asset is held in trust does not mean it can never be subject to a creditor.

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What is a SLAT (spousal lifetime access trust)?

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Estate Planning Trusts Protecting Your Legacy FAQs
Last Updated June 22, 2026
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