The Quantum Trust™ (QT) is a unique alternative to achieving both enhanced Asset Protection, as well Estate Planning in one Trust. Much like it’s big brother, The Bridge Trust®, the QT includes all of the Asset Protection Provisions of a full Asset Protection Trust, making it a Domestic Self-Settled Grantor Trust. The Grantors (Husband & Wife) settle a Trust for their own benefit which includes language (Spendthrift Provisions) that limits access to the assets in the event that a court or creditor attempt to reach the assets of the Grantors.
However, unlike the typical Estate Planning Trust, the QT, is irrevocable, which allows it to withstand U.S. court scrutiny. The QT may also address the estate planning needs with Dispositive Provisions in the Declaration of Distribution section. This allows for a smooth transition of trust assets to the heirs upon death.
What happens if there is a serious exposure? Often the mere existence of the QT is enough to dissuade litigation. However, if you are threatened with a serious lawsuit and potential judgment the trust may be triggered to an offshore jurisdiction. This is a tremendous benefit, and because the trust is already funded, and already irrevocable, triggering it after the threat materializes is okay! Once the QT is internationalized and becomes an International Asset Protection Trust it will benefit from the full protection of the offshore jurisdiction. Assets may move directly offshore to the Trust, and even equity in a home and other real estate may also be ‘stripped’ and moved to a foreign institution if necessary.
Due to the low initial investment and maintenance costs, the Quantum Trust™ is an ideal choice as a dual purpose Estate and Asset Protection planning vehicle, particularly when the risks to the estate are fairly limited.
Additionally, the QT may be used to convert to 2 other very useful Estate Planning and Asset Preservation tools:
- The Qualified Personal Residence Trust (QPRT)
- Fully Medicaid Qualified Trust
Given that healthcare costs are often the greatest threat to an estate and come on quickly, having a plan that allows for protection can be of immeasurable value.
The best way to determine if your assets are at risk and the legal options available to protect them, is to schedule an Asset Protection Analysis. We will provide a confidential review of your financial resources, including your risk level, asset classifications and personal objectives.
Taking control of your own financial, estate and asset protection planning is critical to your peace of mind. Let us help you gain that peace of mind. Please call 800.231.7112 to schedule your analysis.
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