The Top 5 Asset Protection Tips of the Wealthy

By Susan Zapper

Asset Protection Tip # 1: Set up a Privacy Corporation: Privacy corporations are unique corporate entities possible under Nevada law. They utilize proxy officers, frequently called "Nominee Officers," who appear on the public record. You however are the real owner with all the power " a very effective way to shield your ownership and control of corporate assets from public disclosure.

Asset Protection Tip # 2: Create a Friendly Lien: Nothing discourages a creditor like a pre-recorded security interest " no creditor will foreclose on property if they have to pay off a lien holder and thereby dissipate all equity. Accomplish this by creating 2 corporations, both of which record security interests against the other. Property held in a corporation subject to an pre-existing lien will not prompt action from litigious opportunists.

Asset Protection Tip #3: Don't Own Anything: You can't lose what you don't own. The trick is to maintain control. This can be accomplished by owing a trust (you are the beneficiary) while having the powers of the trustee strictly limited. This can be accomplished with a Self-settled Spendthrift Trust. The most advantageous venue for this type of trust is Nevada. A Nevada self settled spendthrift trust is the only statutorily authorized trust which protects trust assets from claims of alimony, spousal support, and child support.

Asset Protection Tip #4: Don't assume that you can't protect yourself if you've already been sued: One of the most misunderstood aspects of asset protection concerns so called "fraudulent transfers." Stated simply, your ability to transfer assets so that they cannot be reached by a creditor is significantly limited once you've been sued or once a liability producing event has occurred. However, assuming "there's nothing you can do" can be an economically fatal mistake. The type of trust discussed in Asset Protection Tip #3 above has a two year statute of limitations for asserting that a fraudulent transfer has occurred. Frequently, litigation in the US takes far longer than 2 years. Thus, if you transfer property into such a trust the day after you're sued, there is a distinct possibility that the plaintiff's lawyer may not take the appropriate action to preserve the plaintiff's claim against trust assets. It's far better to transfer your property into such a trust - where you may eventually prevail - than to presume all is lost and cast your fates to the jury.

Asset Protection Tip #5: Don't be afraid of offshore trusts: Offshore trusts are a bad way to try and avoid your lawful tax obligations. However, they're a great way to avoid domestic civil judgment creditors. When set up through an attorney in the foreign jurisdiction, and properly reported to US regulatory agencies, they can provide a valuable adjunct to your domestic asset protection structure.

Asset Protection Tip #6: Talk to someone who knows what they're doing! Call us Today for a Free consultation! 1-800-334-4914.

We can help no matter how bad the situation looks. Visit our website at http://www.NSCN.com