This article will educate you on how asset protection works, what assets are protected in a lawsuit in Pennsylvania, and different strategies to preserve your estate.
Asset Protection: How it Works
Asset protection is a strategy that lawyers use to protect your estate and possessions from creditor claims and even the state. There are many methods available that can limit access to particular belongings that still follow the debtor-creditor law. Continue reading below for more information on these strategies and why working with an asset protection attorney can help to preserve your property.
Asset Protection Strategies for Different Circumstances
An attorney can implement specific plans to help safeguard your income and property that aren’t protected against third parties. These strategies will create barriers, so creditors can settle with you instead of involving themselves in lengthy litigation. Here are a few typical plans that a lawyer can enact on your behalf.
Titling of Assets
Assets can legally be changed to your spouse or children, which could prevent anyone targeting you from receiving them.
Another option is to move assets to an Irrevocable Trust, which involves legally giving a trustee complete control of your selected items. The drawback is that you can’t change an Irrevocable Trust once it’s finished. Conversely, you can also create a Revocable Trust to shield assets.
Family Limited Partnerships
A family limited partnership is a legal entity among family members to conduct a business, to manage a long-standing family vacation, amongst other things, depending on what is to be achieved. You can move assets to be kept within the family for years to come. The partnership then owns the assets and can not be touched by an individual family member’s creditors.
All-Inclusive Estate Plan
Your lawyer can work to customize an estate plan to protect you from the situations that concern you. A comprehensive estate plan can cover many life situations from Medicaid planning, state and federal tax planning, and several types of Trusts.
Learn How We Can Help You
Whether you’re planning for potential circumstances or you need help with an approaching situation, we’re here for you. At Auld Brothers, our team will listen to your concerns and guide you through your options with clear, detailed information. Contact us using our online form or call (412) 754-7312 to schedule a free consultation.