Saturday, June 23, 2012

Revocable and Irrevocable Trusts Can Be Effective Methods of Transferring Wealth, But Can Be Complicated and Cause Unintended Results by Austin Texas Trust Lawyer Jason S. Coomer

Revocable and Irrevocable Trusts by Austin Texas Trust Lawyer Jason S. Coomer

By creating a revocable or irrevocable trust, families can often protect their wealth from taxes, Medicaid and public disclosure, however, it is important to understand the type of trust that is being created and potential dangers of creating a trust prior to placing assets in a trust.

The main danger of a trusts is losing control of assets.  In creating a trust you are moving ownership of assets from yourself to a trust and are avoiding public disclosure of information.  Both of these actions can create the potential for a trustee or successor trustee to take control of assets.

The Revocable Living Trust Can Prevent Public Disclosure of Asset Information By Avoiding Probate or a Guardianship
 
 The Revocable Living Trust is an arrangement by which a person transfers ownership of their assets property into a trust throughout the course of their lifetime.  The person or persons transferring their assets are know as the Settlor is typically the Trustee and the Beneficiary of the trust during his/her life. This allows the Settlor to retain control of their assets as Trustee or to revoke the trust altogether and go back to managing the assets as an individual. The main benefit of a Revocable Living Trust is that it can avoid the need for probate or a guardianship that would require the public disclosure of assets.  However, this privacy and lack of disclosure can also create potential dangers including successor trustees trying to take the settlor's trust assets through incompetence challenges and successor trustees not distributing trust assets to beneficiaries.  Understanding the trust and giving copies of the trust document to all beneficiaries are typically important to protect from problems with successor trustees.

Irrevocable Trusts Can Help Protect Family Assets But Restrict A Person's Future Use of The Assets Put Into The Trust

Irrevocable Trusts including Medicaid Trusts, Irrevocable Life Insurance Trusts (ILITs) and other irrevocable trusts limit the control of the settlor over the assets put into the trust in order for the trust to accomplish a particular purpose. These trusts can be beneficial including allowing a person to qualify for Medicaid benefits without draining a family's assets or avoid estate tax implications, but the irrevocable trust can also result in a person losing control of their assets. 

It is vitally important that any person creating an irrevocable trust understand why the trust is being created and the future limitations that will be on their assets once the irrevocable trust is created.

Sunday, June 3, 2012

Financial Fraud Against the Elderly is on The Rise Resulting in Billions of Dollars Being Stolen From Seniors and Their Families by Texas Elder Financial Abuse Fraud Lawyer, Texas Guardian Fraud Lawyer, Texas Trust Fraud Lawyer, Texas Family Inheritance Fraud Lawyer, and Texas Alleged Elder Financial Abuse Lawyer Jason S. Coomer

Financial Fraud Against the Elderly is on The Rise Resulting in Billions of Dollars Being Stolen From Seniors and Their Families by Texas Elder Financial Abuse Fraud Lawyer, Texas Guardian Fraud Lawyer, Texas Trust Fraud Lawyer, Texas Family Inheritance Fraud Lawyer, and Texas Alleged Elder Financial Abuse Lawyer Jason S. Coomer 


Financial elder abuse and financial fraud against the elderly are on the rise and was estimated to be at approximately $3 Billion in 2010.  More and more elderly persons are becoming victims of financial fraud and financial elder abuse.  Many of these acts of financial fraud, financial elder abuse, and exploitation of the elderly are committed by family members and caretakers that have access to an elderly person's finances.  While some of these financial transfers are authorized by the elderly person, many are not. 


Most Elder Financial Abuse Involves a Family Member, Caretaker, Stock Broker, Financial Planner, or Financial Adviser by Texas Guardian Fraud Lawyer, Texas Power of Attorney Fraud Lawyer, Texas Alleged Elder Financial Abuse Fraud Lawyer and Texas Alleged Elder Financial Abuse Lawyer 
 
A recent study has found that Financial Elder Abuse and financial fraud against the elderly are on the rise.  Further, that most elder financial abuse crimes involve a family member, financial planner, financial adviser, or caretaker.  This elder financial abuse and fraud is most commonly committed against woman over 80 years old.  This financial exploitation of elderly persons can include changes in investments; buying real property and vehicles for people; large cash withdraws; selling inherited real estate; gifting mineral interests; excessive use of ATM or credit cards; unnatural changes in a will, power of attorney, beneficiary designations or financial documents; documents signed under duress; theft of valuables or money; transfers of money, mineral interests, oil royalties, or assets; forgery of checks, financial transaction documents, or other documents; isolation from family, friends, community, or other stable relationships; and use of medications to subdue the elderly person.