Title Tale: In Trust We Verify
Written by: Mylene Marcelo, Title Manager/Title Officer
We’ve talked about trust vesting in a previous Title Tale, so this seems like a good time for another trust reminder – especially since one of the most common questions our Curative team hears is: “Do you really need the trust?”
That answer is: it depends.
A very wise man once taught me that we have what we call a “plain vanilla trust.” No, that’s not an actual type of trust. Vanilla is simply a term commonly used for something standard and uncomplicated. If the borrower is the trustor/trustee and everything is straightforward, a Certification of Trust may sometimes be enough, depending on the state and the information we already have.
But not every trust is vanilla – and we see a lot of them. Based on recent volume, our team reviews approximately 250 to 300 new trusts each month, with dozens more requiring additional documentation or follow-up review.*
One of the more common challenges is when the borrower inherited the property and doesn’t have a copy of Mom or Dad’s trust. The chain of title may already show a deed from the trust to our borrower, which naturally brings up the question:
“The property is already in my name. Why do you still need the trust?”
Because sometimes the deed doesn’t tell us the whole story.
Who had the authority to transfer the property after the trustor died? Was our borrower the only beneficiary entitled to the property? Were there other beneficiaries? Was the trust amended? These are some of the questions why we may need the trust documents to answer before we can clear vesting.
Here’s another interesting trust fact: we often say property is “in a trust,” but technically, in many jurisdictions, title is held by the trustee on behalf of the trust. Of course, because we work nationwide, state law matters, and some states recognize or permit vesting in the name of the trust itself.
And that distinction can matter when reviewing judgments. Just because a judgment is against an individual who happens to be the trustee does not necessarily mean it affects property held by that person in a trustee capacity. Capacity matters. A judgment against John Smith individually is different from a judgment against John Smith as Trustee. Whether a judgment reaches trust property ultimately depends on the nature of the judgment and applicable state law.
And yes, we understand that trusts are private documents. We’re not asking because we want to know the family’s personal business. We’re looking only for the information necessary to establish authority and ensure clear, insurable title.
So, when Curative says, “Yes, we really need the trust,” there’s a reason behind the request.
Because when it comes to authority, vesting and insurable title, in Trust We Verify.
*Based on internal Curative trust-review volume for June through August 2026, including initial trust reviews and additional trust-document submissions.
