Why set up a trust? In most cases the motivation for setting up The Family Bank Trust is simply to:
Keep it in the Family.
Throughout this site you will see examples of how family wealth can fail to be passed on from generation to generation. We can help you keep it in the family, but here are a few examples of what will most probably prevent your wealth from properly supporting your grandchildren and great grandchildren. The Family Bank won’t solve all problems, but it goes a long way towards ensuring your hard work will continue to benefit your family.
Keep it in the Family and reduce or avoid the impact of:
- Inheritance Tax can take up to 40% – from each future generation.
- Bankruptcy, through no fault of your own, can take everything.
- Care fees can take everything from your childens estates.
- Remarriage after death of a partner is common and sideways disinheritance can take everything. It really doesn’t need to disadvantage anyone.
- Your childs’ divorce or separation could pass half your assets to strangers.
- Avoid claims on your estate from former spouses or partners.
- Similarly, avoid claims against your estate from third parties.
- Avoid the costs and delays of probate – averaging 3.24% and around seven months.
These and more benefits can help to keep it in the family, though there are all sorts of issues which must be discussed and reviewed to make sure each of these advantages is available. The Family Bank won’t allow you to deliberately avoid known debts, or even expected ones. But the protection it offers for those in reasonable health and a stable financial situation is considerable.
Imagine one of your ancestors had been a Crusader (Trusts were effectively invented for them) and their descendants had kept the tradition of The Family Bank and managed to retain 75% of all the wealth they owned for there descendants. Would you have been better off? Would your life have taken the same course if you had several times the assets at your disposal that you actually had? Is that a gift you would like to create for your children and grandchildren for the cost of two or three weeks care fees? You may think it prudent to appoint “Bank Manager” with wise heads to control withdrawals from your Family Bank though!
We are happy to have a brief chat with people who have genuine enquiries. We do reserve the right to charge for our time when enquiries originate directly or indirectly from other professionals who wish to know more about how our trusts work. We are happy to provide training for other professionals, or to accept referrals, but we do get a little annoyed when they try to pick our brains posing as potential clients, which is dishonest.
Enquiries from those wishing to consider spending a little to help future generations and keep it in the family are most welcome!
Why set up a trust? To
Keep it in the family!