A term used to describe the person who creates the trust, depending on the state

• A. Beneficiary
• B. Settlor or trustor
• C. Trustee
• D. Executor

Answer: (B)

The person who creates a trust is the one who establishes it and transfers property into it. This role is typically called the settlor. In many states, you’ll also see the term trustor used to describe the same creator, and sometimes grantor is used for revocable living trusts. The key idea is that this individual sets up the trust and its terms.

Beneficiary refers to someone who benefits from the trust, not who creates it. Trustee is the person who administers and manages the trust assets according to the trust terms. Executor is the person who handles the deceased person’s estate, not the creation of a trust. So depending on the state, the creator is best described as the settlor or trustor.