Overview of Asset Protection Trusts
Is a trust your best asset protection option? A trust may shelter you, but most will not. America's wealthiest families have historically relied upon various trusts to protect their wealth. Now folks from every economic background use trusts for myriad purposes. Asset protection is one of the more important.
- Trust Basics
A trust is created by the person settling or grantor (the terms are interchangeable) who funds or gives property to the trust. As the trust creator, the grantor sets the terms under which the donated assets shall be managed and distributed.
The grantor names one or more trustees. The trustee may be the grantor. The grantor designates the beneficiaries who are to benefit from the trust and receive its income and principal. Certain trusts allow the grantor to be both the trustee and the beneficiary. This is common with the living trust.
To consider a trust for protection, you must ask:
1) Which trusts can protect your assets from your creditors?
2) Which trusts can protect assets that you bequeath to your beneficiaries from their creditors?
3) How can you improve your trust protection?
4) How much asset protection can you get from the different trusts?
Below are the links for more information regarding trusts:
YES, YOU CAN LOSE EVERYTHING!
You may think that your wealth is safe and that you don't need protection. But don't delude yourself and accept reality -
for every 60 minutes you spend making money, spend 60 seconds thinking about how to protect it!