Spendthrift Trust
A spendthrift trust is a trust that includes "spendthrift" provisions intended to prevent beneficiaries from assigning and creditors from attaching the interest of beneficiaries in the trust. Although creditors may not attach a beneficiary's interest, as soon as a distribution is received by the beneficiary, the creditor or assignee can take it.
This brief overview of some important considerations associated with the spendthrift trusts is by no means comprehensive. Always seek the advice of a competent professional when making important tax planning decisions