Asset Protection Trust (APT)
What is an APT?
An APT is a specialist trust which you can set up to safeguard your home and other assets, protecting them from being sold against your wishes. This can sometimes happen at the end of your life if you need to go into a care home and there are fees to be paid.
With an APT, you retain control over the things you value and can also enjoy all the benefits they provide you for the rest of your life.
You can access the capital at any time and you can receive an income from the trust.
An APT is fully reversible. You are free to change your mind whenever you choose and put things back just the way they were before.* (subject to fees)
Why choose Just Wills And Legal Services for your APT?
As already mentioned, a properly set up APT may help to protect your assets when local authorities are seeking funding for care home fees.
There are other advantages too:
APTs are not appropriate for everyone. They must be set up properly and at the right time in order for you to benefit.
- Avoid the expense and possible time delay due to probate
Probate may not be necessary if you have an APT
- Protect assets for your children and grandchildren in case of marriage breakdown
Sadly, relationships sometimes fall apart. After divorce or bereavement, be reassured that with an APT you can safeguard your children’s inheritance should your new relationship fail.
With an APT, only named people can inherit. If your children divorce, then you can protect assets so that only they and your grandchildren benefit, not ex-spouses.
- Prevent claims against your estate
With an APT, you can exclude someone from your estate who would otherwise have a claim against your assets. This could be an estranged child, a parent or other relative. With no claim possible, the situation is clear-cut, and lengthy court proceedings and the ensuing costs will not arise.
- Minimise inheritance tax
Putting your assets into a trust reduces future generations exposure to inheritance tax
- Protect your assets from bankruptcy
If you run into serious debt, an APT can help. It won’t prevent you from being declared bankrupt but it will save your assets from being used to pay your creditors.(Please note that it is not possible to do this if you know you may be declared bankrupt in the near future)
- Avoid compromising benefits of dependants
If you have a disabled child or a dependant who is unable to work for whatever reason and relies on benefits, using assets from an APT will not affect his or her status, so governmental support can continue.
If you would like further details or would like to arrange an appointment please Contact Us