The Ultimate Privacy Trusts Quiz

By: Staff

4 Min Quiz

Image: refer to hsw

About This Quiz

Your financial data might be easier to access than you know. With a privacy trust, however, you can secure your data, and protect yourself against scams and predatory law suits. Are you at risk?

Which of these financial details enters the public record when you own a home?

Like it or not, your current home equity is a matter of public record.


Where can one go to search your public financial data?

Most states and counties keep public databases that are accessible from the Internet.


How do privacy trusts ensure anonymity?

A privacy trust will manage all of your financial paperwork under an account listing that does not include your name or your Social Security number.


In a privacy trust, what does the company you hire as your trustee manage?

The purpose of a privacy trust is to secure the privacy of your financial paperwork and data.


Which of these terms refers to a person who establishes a trust?

The person who establishes a trust is referred to as a grantor.


The party that manages a trust is called which of these?

The third party, whose job is to manage the trust, is called the trustee.


When you set up a privacy trust for yourself, you simultaneously carry which two titles?

The beneficiary is the person who benefits from the loan. The person who established it is the grantor. In the case of a privacy trust you are both.


Who should you consult before choosing a trustee?

Choosing the right privacy trust requires a lot of knowledge about estate law. Speak with an estate planner before finalizing your decisions.


Which of these should you make sure applies to the company you choose to manage your trust?

If you're going to give someone access to your financial data, you should make sure they are licensed and regulated. Otherwise you might be dealing with a complex scam.


By which of these should your trust manager be regulated?

Trusts are often licensed by the banking industry, which oversees their management methods.


What does LLC stand for?

A Limited Liability Company is kind of business partnership that is usually used a tax shield.


The fact that a privacy trust is revocable means that you may do which of these?

You are not required to keep a privacy trust for a set period of time. You may dissolve it at any time, in accordance with the contract you've signed.


How can a privacy trust protect you in cases of a lawsuit?

By keeping your financial data in a privacy trust, you can shield certain assets from a lawsuit.


A privacy trust is technically which of these?

All living trusts, including privacy trusts, are designed to manage your assets in one way or another, while you're alive.


Opening a privacy trust could also help you accomplish which of these?

Besides protecting your privacy and assets, privacy trusts can help lower your tax burden by allowing you to legally reduce your taxable income.


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