Many people consider asset protection something people do when their net worth exceeds millions of dollars. They consider Swiss bank accounts and tax havens and assume because they are working or middle class, protection is not for them. This is untrue! If you own assets, it is important to protect them regardless of their specific worth. Homeowners must make an effort to protect the equity in their home, especially if their state does not provide home exemptions. If you own a car or have invested in items like artwork or gems and jewelry, you need to make sure these assets receive protection. Again, this is not just in regard to massive wealth. An engagement ring requires protection and having inherited jewelry or artwork means you now own these assets. Furthermore, savings and investments need protection, all of which may be at risk should you be found liable in a court settlement or attacked by creditors. In many instances, a Cincinnati bankruptcy lawyer can help you establish strong protection plan. Cincinnati bankruptcy lawyers can use their expertise to help you develop a plan. Speak with one about you options for protection and your risk should you forego protection.

While some believe offshore investing is illegal, others understand this is one of the best ways in which to protect your assets. There are a number of ways in which to utilize offshore guards. While creditors will have little problem discovering your offshore accounts, U.S. court rulings will not hold up. The assets are covered under the laws and regulations of the country in which you have invested them.

The only way creditors can access the money is by traveling to that country, had their case tried in that country’s court system, and received a comparable settlement to what they were seeking in the United States. It is unlikely this will occur because it is time consuming and expensive.

Your other option, often known as the poor man’s asset protection, is transferring your assets to another person. This can be a risky move, even when you trust the transferee. Should the relationship go astray, you are out of luck. Your enemy now owns all of your assets and this ownership will stand up in court. Creditors may also prove that the transfer was fraudulent.

This means it was done for the sole purpose of avoiding debt payments. While fraudulent transfer is legal, the court can simply ignore or undo the transfer and you are back where you began. To avoid being accused of the action of fraudulent transer, prepare your protection plan well in advance of needing it.

Connor Sullivan recently worked with a Cincinnati bankruptcy lawyer while conducting research for a new article. He was very impressed with the client relations conducted by the Cincinnati bankruptcy lawyers while he spent time reviewing their work.