Both a will and a trust disperse your loan and belongings after your death. A trust is a will replace.
It is a legal plan in which a person (the trustor) gives ownership of his or her property to a legal entity called a trust, which is managed by one or more trustees.
The trustor can be a trustee, so that she or he still has complete control of his loan and ownerships while alive.
The trust lists certain people or institutions as recipients. When the trustor dies, these recipients get whatever remains in the trust.
A substantial difference is that the cash, property, and other assets covered by a will should go through a court process called probate before they end up being the property of the persons called in the will.
With a trust, the money, property, and properties that remain in the trust do not go through the probate procedure. They are distributed directly to individuals called as beneficiaries of the trust.