I'm re-evaluating my understanding and beliefs that discretionary trusts provide asset protection especially from creditors if things go bad. If lenders always ask for a personal guarantee from you as an individual, how does owning and having a mortgage in a trust provide protection against creditors? for instance in the situation where you lost your job and started defaulting. They'll just come after you as an individual as you've given a personal guarantee and would be liable. I suppose it would work better with a very large portfolio where if you owned everything personally, you would stand to lose a lot if you started defaulting and provided a personal guarantee to a lender.