To claim your CPD certificate, test your knowledge with the questions below.
Write down your answers to each of the following questions and check your answers when you click to claim your CPD certificate on the link below
1. There are conditions that need to be met for a trust for a bereaved minor to be created. Which of these statements is true about how the trust be created?
a) Under the Will of a bereaved minor’s deceased parent
b) Under the Will of a bereaved minor’s deceased grandparent
c) On intestacy in Scotland
d) By the parent of a minor child during the parent’s lifetime
2. An “IPDI” trust is a type of qualifying interest in possession trust which is created on death of the settlor. What does “IPDI” stand for?
a) Immediate post death income
b) Immediate post death interest
c) Income post death interest
d) Intestate post death interest
3. In order to make a vulnerable person’s election there are various conditions that need to be met. Which of the following is not one of these conditions?
a) During the lifetime of the beneficiary capital payments to any other beneficiary are restricted to the lesser of £3,000 and 3% of the trust fund
b) The vulnerable beneficiary must become entitled to all the income by an age not exceeding 25
c) The beneficiary must either be physically or mentally disabled and entitled to certain state benefits or, qualify as a relevant minor.
d) During the vulnerable beneficiary’s lifetime they must either be entitled to all the income arising from the fund or, if not, it cannot be applied for the benefit of anyone else.
