Worried for parents about asset protection trust

John464

My understanding of these trusts is you are handing control of your money to someone else - who could turn out to be a scammer!
Another factor to consider is you can no longer count on getting the care you need from the NHS....

Albermarle

gonboating said:

couple of points worth mentioning about LPA's
If you can fill in a self assessment tax return you can prepare a set of LPA's Set up an account (NB check its with www.gov not the spivs who buy top ranking) complete the form online and pay and print. the key once printed is to make sure the various signatories are in the right day order. The bore is you then have to post it to birmingham for someone to take 20 weeks to check.
Not for the OP I think but if the donor is on most means tested benefits then the fees are waived in full or part.
Or you can pay someone to do it for you but don't let them upsell you. 

Just been through this process and yes it did take a LONG time for them to process the forms.
If you fill one in and then pay the £82 and print it off, but find that you have made a mistake. You can not cancel it or edit it, but all you have to do is just not send it off. If they do not receive it after about 4 weeks, the application is cancelled and your £82 returned ( eventually)
In the meantime you can just start a new one ( and pay another £82 of course)

martinbainbridge1975

a solicitor would be able to set up a trust and also wills / poa's for far less than £4500

would be wise to ensure there is something in place to prevent charges against the house in the event of care being required, your folks will have worked hard to build up their estate, you don't want grubby councils getting there hands on it

John464

 you don't want grubby councils getting there hands on it

It wouldn't be going to the councils
Your mums money would be going to pay for her nice new home
so your mum didn't have to join the queue for whatever cheapo home she might get from the NHS
whilst you get your grubby hands on her money

phillw

martinbainbridge1975 said:

would be wise to ensure there is something in place to prevent charges against the house in the event of care being required, your folks will have worked hard to build up their estate, you don't want grubby councils getting there hands on it

What do you suggest? Getting a bulldozer to destroy the property?

They have worked hard, the capital should be used to make their later lives more comfortable.

But sure, under fund the council and then sponge off them. I wouldn't let my parents do that.

Richard1212

I think a lot of folk have missed the point that this estate worth £500k belongs to the O/P's parents, who must be pretty au fait about financial planning to have created their wealth- and are presumably still au fait ( unless, amazingly, they are both suffering from a mental disorder at the same time).

What has O/P said to her parents following their decision and what have they said inn return ? Are relations still amicable? Very personal questions but this is a very personal thread introduced by a very personal opening post.

I know that my wife and I are VERY concerned about the possible care we might need in our old age. Have you seen some of the grotty residential/nursing homes exist ?? We want the very best for each other if we need residential care , for example. We paid over £500k for my mother in law to stay in a beautiful nursing home for the last 7 years of her life when she was very feeble. We are sure that her suite and communal areas and fantastic gardens made her last years what she deserved after a lifetime of her love, support and hard work.

So we have a Will + PoA etc that makes sure one or both of us will get the very best residential  or nursing home care if it proves necessary ( named and, if closed by the time we need it, then a few alternatives and/or the exact criteria we want for each other). The children are the main beneficiaries but there are other beneficiaries and complicated arrangements for property, jewellery, pictures and many other items -----but the final estate depends , of course, on what amount we have left if we have eaten a lot of money on residential/nursing homes : the children could receive very large sums if my wife and I die at home or hospital of an acute illness, but very much less if we, or one of us, had spent years in a residential/care home.

The above is just to highlight that IMHO the O/P's parents have to think of each other before they sign away their estate to children or anybody else. Whether they have met their requirements in the "right" way or not, I do not know----I only know that I agree with their basic aims (looking after each other before anyone else).

Malthusian

Richard1212 said:

I think a lot of folk have missed the point that this estate worth £500k belongs to the O/P's parents, who must be pretty au fait about financial planning to have created their wealth- and are presumably still au fait ( unless, amazingly, they are both suffering from a mental disorder at the same time).

I agree with most of your post, except that I don't think anyone has missed the point.
Prior to running into a charlatan, we can reasonably assume that the OP's parents' Wills were a standard "to each other on the frst death and equally to the children on the second". The OP only specified what would happen on the second death but it would be surprising if what happened on the first was not "to each other".
Until they ran into this "company" their aims were to look after themselves first, and their Wills achieved that.
They were then persuaded by this company that they should look after themselves second and their children first (notwithstanding that they probably wouldn't have achieved that), by setting up some sort of trust that purportedly allowed them to dump themselves in Overmydeadbody Grove at the taxpayer's expense in order to leave more of their money to their children.
Pretty much every single person in this thread has tried to persuade them (via the OP) to change their basic aims back again, to themselves first and their children second.

Albermarle

Malthusian said:

Richard1212 said:

I think a lot of folk have missed the point that this estate worth £500k belongs to the O/P's parents, who must be pretty au fait about financial planning to have created their wealth- and are presumably still au fait ( unless, amazingly, they are both suffering from a mental disorder at the same time).

I agree with most of your post, except that I don't think anyone has missed the point.
Prior to running into a charlatan, we can reasonably assume that the OP's parents' Wills were a standard "to each other on the frst death and equally to the children on the second". The OP only specified what would happen on the second death but it would be surprising if what happened on the first was not "to each other".
Until they ran into this "company" their aims were to look after themselves first, and their Wills achieved that.
They were then persuaded by this company that they should look after themselves second and their children first (notwithstanding that they probably wouldn't have achieved that), by setting up some sort of trust that purportedly allowed them to dump themselves in Overmydeadbody Grove at the taxpayer's expense in order to leave more of their money to their children.
Pretty much every single person in this thread has tried to persuade them (via the OP) to change their basic aims back again, to themselves first and their children second.

I had the same thought when I saw that comment-  almost every other poster had not missed the point at all !

Richard1212

Malthusian said:

Richard1212 said:

I think a lot of folk have missed the point that this estate worth £500k belongs to the O/P's parents, who must be pretty au fait about financial planning to have created their wealth- and are presumably still au fait ( unless, amazingly, they are both suffering from a mental disorder at the same time).

I agree with most of your post, except that I don't think anyone has missed the point.
Prior to running into a charlatan, we can reasonably assume that the OP's parents' Wills were a standard "to each other on the frst death and equally to the children on the second". The OP only specified what would happen on the second death but it would be surprising if what happened on the first was not "to each other".
Until they ran into this "company" their aims were to look after themselves first, and their Wills achieved that.
They were then persuaded by this company that they should look after themselves second and their children first (notwithstanding that they probably wouldn't have achieved that), by setting up some sort of trust that purportedly allowed them to dump themselves in Overmydeadbody Grove at the taxpayer's expense in order to leave more of their money to their children.
Pretty much every single person in this thread has tried to persuade them (via the OP) to change their basic aims back again, to themselves first and their children second.

Re-reading posts, I fully agree with you Malthusian. Thank you.