An estate is a wealth of a person whether alive or dead. A real estate is property a person possesses at the time of his death. A person’s estate includes assets, life insurance, cars, business, pensions, personal belongings and debts. Estate planning is basically a process by which a person can transfer his or her assets in anticipation of death. Estate planning is a complex area of law. The rules and terms may vary from state to state. Estate planning protects an individual’s assets after his or her death. The primary tool for estate planning is a living trust. A living trust is created in the life of estate owner and it lets a person to control the distribution of his or her property.
Estate Planning Scam:
Scams are becoming more common in estate planning. The scam artists know the art of convincing the victim. The percentage of such victims is increasing each year. Many people fall victim to fraudulent and unqualified sellers of futile estate planning documents. Usually door-to-door salesmen and telemarketers play such scams. So be careful and don’t try to make decisions in hurry. If death occurs before you fix the issue you will likely have to contest the will using legal help.
Features of Estate Planning Scam:
- The salesman seems to be the nicest person you ever met and they promise to do exactly what you want.
- The trust documents are usually pre-printed and contain unnecessary information.
- Clients never have an opportunity to approach an attorney. They make claims that are too good to be true.
How to avoid Estate Planning Scams:
- Usually state law requires an attorney to draft the trust. Contact an experienced and licensed estate planning attorney. You can also take advice from a financial advisor if required. Before you start using an estate planning attorney make sure you contact a licensed practitioner. You can also verify about your estate planning attorney in the State Bar Association. Check whether he or she is an active member of Bar or not.
- Get information about your local probate law. You can only recognize an estate planning scam if you have knowledge about the estate planning law of your state. You can also attend estate planning seminars given by attorneys at local courts conducted in your state. Don’t feel hesitant to ask lots of questions to make yourself clear. Only an experienced attorney can explain all of your planning options.
- Avoid high speed sale schemes selling estate planning tools. Never buy a pre-printed Living Trust kit. If you buy a Living Trust kit or services at any seminar, the seller must give you a written statement of your right to cancel the deal within three working days. An unlicensed seller may offer you a bargain price, but think twice this will create legal issues for you and your loved ones.
- If you are planning to take services from an organization then check out that organization with the Better Business Bureau.
- Always remember the rule of thumb, don’t sign if you don’t understand what you are signing.