When it comes to estate planning, both a living will and living trust cover your health wishes but only a trust protects your property and can keep you out of probate court.
"That's basically when the courts are there to determine who gets your money. It's not an evil process, it's just time-consuming and can cost a lot of money," said financial professional Stewart Willis with Asset Preservation Wealth and Tax.
Claims of saving you money are also how scammers can lure you in.
Willis says living trust mills are preying on people in Arizona. It's a predatory practice that was rampant in California about 20 years ago, leading to lawsuits against so-called "Will Mills" and ultimately leading to the forced closure of those companies.
"If they're advertising living trusts, $699, $900, there's usually a catch. That's not how they make their money," said Willis, who warns you to beware of the pretext interview.
"What they're doing is getting access to all of your financial information and then try to sell you more expensive insurance products."
Instead, go to a verified law or finance firm that won't drain your assets before you can pass them on.
When it comes to estate planning, Willis also says you should also establish a financial power of attorney, just like a health care power of attorney and it doesn't have to be the same person. You can decide how much control that person will have over accounts, selling stock, and managing real estate when you're not fit to do it anymore.
