NativePride I got everything straight. The reason for funding is texas law it can be monies or property but an account maintained with as little as $1 ensures trust remains valid
Texas law requires a trust to be funded in order to be created. Section 112.005 of the Texas Property Code (Texas Trust Code) provides: “A trust cannot be created unless there is trust property.” Nominal funding is sufficient to create a trust where the other formal requirements for the establishment of a trust are met. In a battle over a large estate, the San Antonio Court of Appeals ruled that the funding of a trust with $1.00 was sufficient corpus to meet the funding requirements of a valid trust. In Re: Estate of Canales, 837, S.W.2d 662 (Tex. Civ. App. – San Antonio, 1992). The mere drafting and signing of a revocable trust does not create a trust unless it is funded. This is why some ATF examiners have questioned ATF Form 4 transferees regarding NFA trust funding. If a trust has not been funded the transfer may be to a non-existent entity and therefore invalid. A gun trust must be funded to be in existence and valid.