Creditors of the beneficiary of a spendthrift trust can attach the income of the trust before or after the beneficiary receives it, but they cannot reach the trust fund itself.

Question

Quizplus · Accepted Answer

Creditors cannot attach the income of a spendthrift trust before the beneficiary receives it due to the trust's protective provisions, but they may be able to reach it after it has been distributed to the beneficiary, depending on state laws. However, they generally cannot reach the trust fund itself.

Creditors of the Beneficiary of a Spendthrift Trust Can Attach