Do trusts protect your bank account from garnishment?

Answer by  patti (29325)

Funds in a trust can be attached by court order. An debtor who has funds in trust is expected to be able to pay debts. Failure to do so forces the creditor's hand to request an order to attach those funds to satisfy the debt that is not acknowledged by the individual.

Answer by  patti (29325)

Generally, a trust can be attached, but it depends. A lien can be placed on a trust in order to get a debt satisfied. The lienholder can release the lien if arrangements are made.

Answer by  tamarawilhite (17883)

Money inherited from a dead parent in a trust can be protected from garnishment, because the owner is their trust. However, your property cannot be shielded. For example, if you put your home and bank accounts in a trust, it is considered hiding assets, and the trust doesn't protect them from garnishment or repossession.