 TITLE: How Living Trusts Can Safeguard Your Assets CONTENT: How Assets and Debt Are Handled After Death\n-------------------------------------------\nAfter your death, the successor trustee takes over. It's a big job. That person will distribute the assets in the trust, but will first have to satisfy any outstanding debts, such as taxes, collection accounts and credit card bills. He or she will have to identify all the creditors, prepare income and estate tax returns and pay any ongoing bills. If more money is needed to pay off the creditors, the trustee may have to raise it by liquidating accounts or selling property.\nThe distribution of assets also requires considerable effort. Bank and investment accounts will be straightforward, but property such as real estate, cars, jewelry and artwork is more complicated, as it will need to be professionally appraised for its date-of-death value. To obtain those written appraisals, the trustee may first have to get an affidavit that proves his or her authority.\nDuring this time, the trustee will keep the beneficiaries up to speed on what's going on, and then will start to transfer the assets. Bank and investment accounts will be passed to the named beneficiaries. Any property that has a title, such as homes and vehicles, will require the trustee to prepare and sign a new title document to transfer ownership to the beneficiary. For items such as jewelry and furniture, it's a matter of handing it over or arranging for the beneficiaries to pick them up, an exchange that will require a signed receipt. END