Let Asset Protection Work for You

Every person has his assets no matter how poor he may be. Assets are things of value such as stocks, bank accounts, real estate, investments, and more. In our day to day activities, we put our assets at risk in doing businesses with others — liabilities arising from it and might take our assets away.

How can one protect their assets? This is a common question for everyone. There are several ways to protect a person’s assets. A straightforward example of asset protection is transferring a poor man’s bank account to his daughter’s name so that his creditor can’t take it away. He might appear already bankrupt when the truth is he’s not.

What is asset protection? It is the process by which a person takes steps to avoid the risk of their assets from being seized by creditors. There are two common forms of asset protection. These are domestic and offshore protection. Setting up a Nevada corporation is the most common example of local asset protection. This is so because the corporate asset of an individual is distinct and separate from his assets. Nevada is tax-free and doesn’t report any income to Internal Revenue service. When being sued, the plaintiff’s lawyers will turn first to tax records as a form of asset search. They will be surely unable to find one.

Offshore asset protection is merely putting one’s money outside the country where offshore courts do not recognize the United State’s judgments. By establishing an offshore corporation, one created an entity to hold his assets, but it is still for his benefits. A representative nominated for an offshore corporation, but you always keep control of the revenues. This makes your business affairs anonymous. Because of this, searchers cannot locate your offshore assets.

Are you familiar with the “Swiss bank account”? This is an offshore alternative of storing money as well as tangible assets such as diamonds, gold, and more. Offshore bank accounts are famous because US asset searchers and lawyers can’t trace them.

There are other means and other offshore entities that provide asset protection. Before you take your first step in protecting your valuables, make sure you consult your lawyer or seek the advice of a professional manager on the matter.