Gifting your loved one something expensive for Valentine’s Day? There
are many ways to legally and ethically protect your major assets...but
don’t overlook “smaller” ones. Asset Protection can
be used to protect all your assets, including the gifts you or a loved
one might receive on Valentine’s Day.
Title Jewelry to a Limited Liability Company (LLC)
Jewelry is one of the most popular gifts given on Valentine’s Day.
But that new watch, necklace, or pair of earrings isn’t safe from
creditor seizure. Yes, even jewelry needs protection. Here’s what
you can do for protection:
Transfer the jewelry to an LLC, particularly if the asset may increase in value
Remember: never conceal or hide an asset -- no matter how inconsequential
its value may seem. It can be a serious offense. Creditors can discover
that expensive piece of jewelry.
Shelter Your Bank Accounts
Cash is always a good gift, even on Valentine’s Day. But cash is
an asset that definitely needs protection. Make your cash accounts difficult
for a claimant to get their hands on.
For spouses, you may safely title cash in
tenants-by-the-entirety accounts in states that protect them. If you have significant cash, operating separate
accounts through different entities is wise. Title your liquid assets to a
Limited Partnership. Substantial accounts (more than $500,000) should be kept in international
jurisdictions, titled to an international trust or foreign LLC.
If your smaller cash accounts are in imminent danger, spend down the account.
Sprinkle cash gifts (small transfers are
usually unchallenged as fraudulent transfers)
Reduce the debts against exempt assets
Buy exempt assets with spare cash
Pay friendly, preferred creditors
Pay debts non-dischargeable in bankruptcy
Prepay future expenses
Title Vehicles to One Individual
Gifting your significant other a car this Valentine’s Day? Your automobiles
are one of the first things a creditor will investigate. Remember: never
co-own vehicles. Doing so only expands your liability.
Knowing that your assets are protected may be the best gift on Valentine’s
Day. Call (561) 953-1050 or fill out our contact form on the top of the
page to speak to an experienced Asset Protection Attorney today.