In the Virgin Islands, asset protection is vital for all consumers and businesses. By forging the right plan, the owners won’t have to worry about serious losses during probate. Separation from the estate is also a beneficial move for preventing creditors from seizing assets. A financial advisor can discuss options for creating the plans.
Separating Assets from an Estate
A financial advisor explains the advantages of using an irrevocable trust for separating assets from the estate. The great aspect of the establishment is that the owner retains all control over the assets until they die. A successor takes over according to the stipulations of the original owner. It is an effective way to protect assets for heirs and avoid probate issues.
Transferring Ownership to a Family Member
Earlier transfers of ownership can protect an asset from probate and potentially from a nursing home. Estate owners who have been diagnosed with a terminal or progressive disease transfer the deed or title earlier to avoid a nursing home from claiming the property as payment for services. The process also helps heirs avoid additional inheritance taxes when acquiring the property.
Creating Trust Funds for Financial Inheritances
Trust funds are financial accounts used to transfer wealth to an heir. By using the trust fund, an estate owner can transfer as much money to an heir as they prefer. Stipulations are added to protect the heir and their wealth from a new legal guardian if the parent dies before the heir is an adult.
Creating a Plan for the Probate Process
Consumers create plans to pay off their debts and avoid a long probate process. A whole life insurance policy is beneficial to use for the balance of old accounts. The estate owner can set up stipulations for how the funds are used by the beneficiary and prevent unethical use.
In the Virgin Islands, asset protection is paramount for anyone who has extensive wealth and a large estate. Following steps to protect the assets prevents financial losses and keeps the wealth within the family. Consumers or businesses who want to learn more about asset protection contact Kirk Chewning for an appointment right now.