State law can make it difficult for you to hold on to your hard-earned assets, especially later in life. Many protections available under federal law are not offered in-state, allowing your creditors to take more of your estate than you might realize.
A dedicated estate planning attorney could help you review your vulnerabilities and make a plan for the future. This often includes reclassifying assets so they are no longer reachable by creditors. Let an Upper Marlboro asset protection lawyer advise you on your legal options.
What is Asset Protection?
The term “asset protection” is used when describing legal strategies designed to safegurd a person’s accumulated wealth. With the right approach, it may be possible to turn away creditors and fend off litigants while ensuring valuable assets are available for heirs.
A crucial aspect of asset protection is classifying property so creditors cannot access it. Arranging accounts or other valuables correctly could be enough to stave off litigants for good.
Certain assets are considered exempt. These are tough, if not impossible, for creditors to seize and liquidate. Converting assets into valid exemptions can dramatically reduce the impact of collection efforts.
Some properties, like real estate and retirement accounts, are difficult to take due to protections built into the law. Non-exempt assets like cash or certain bank accounts make for much better targets. An asset protection lawyer in Upper Marlboro and Largo could advise a person on which accounts and property are or are not exempt.
Protection Through Transfers
Changing the nature of assets might not be enough in some cases. Under the right circumstances, the best option might be to switch ownership. The law allows property to be placed into trusts and other legal constructs that become its legal owner. This approach can prevent creditors from placing liens or otherwise seizing property since it technically no longer belongs to the person in question.
Business owners can set legal entities as another strong approach. By operating as a limited liability company or a corporation, an individual may be personally shielded from legal action targeting the business. This can help them protect their personal assets from someone with a claim against their LLC.
Protecting the Family Home Using Tenancy by the Entirities
One of the most important tools for protecting assets is the use of tenancy by the entirities. This approach to real property ownership can ensure that one spouse can stay in the family home when the other passes away.
With a tenancy by the entirities, both parties are considered to be the owners of the property in question. When one of them passes away, the other becomes the sole owner of the family home.
This can be a useful strategy for an Upper Marlboro asset protection attorney because those who have a claim against one spouse can only collect on the jointly owned property if both parties are named in the debt.
Call an Upper Marlboro Asset Protection Attorney Today
When you work with an Upper Marlboro asset protection lawyer, you have the opportunity to protect what you value and ensure it is available for the enjoyment of your loved ones in the future.
Reach out today to discuss your options during a private consultation.
