Most people consider a family member or close friend to serve as their trust administrator because they want someone they know and love who understands their wishes.
However, when your chosen trustee becomes untrustworthy, it can change your family dynamics and cause you unnecessary stress over your estate’s financial future.
Removing a trustee
As the grantor in charge of a revocable trust, you have the power to remove your current trustee by amending the existing trust or creating a new trust that nullifies the previous trust. For an irrevocable trust, you will need to petition the court to request the removal of a trustee.
Choosing a new trustee
Your trustee needs to be able to abide by the terms of the trust, handle your investments and maintain the confidence of your beneficiaries. The person you choose should be:
- Honesty and trustworthy
- Financially responsible and organized
- Skilled at building and maintaining relationships
If you have multiple beneficiaries, you might consider appointing co-trustees that can hold each other accountable. Additionally, you should appoint someone to act as a successor in the event your trustee becomes disabled or passes away.
Hiring a professional
Administering a trust is a lot of work and if there is no financial motivation, then your current trustee may become resentful of having to oversee someone else’s assets. This can lead to unwanted discord within the family. If trust is a concern among your inner circle, then you may wish to seek the services of a third-party trustee or trust company that has no emotional ties to your estate.
You deserve to know that your estate is in good hands and the person(s) you choose to handle your affairs will act according to your wishes.