I was recently contacted by a local couple who had received a phone call from an Ohio based salesman claiming to represent a company that specializes in “asset protection” and “probate avoiding” techniques for seniors. The salesman spoke at length with the couple, over-exaggerating the expense, hassle, and legal fees associated with the probate process. The salesman’s solution? For the bargain price of $150.00, his company would draft a will and living trust to shield the couple’s assets from probate. Sensing something was amiss, the couple contacted me for a second opinion. I warned the couple they were most likely being “worked over” by a salesman for a “Trust Mill.”

Unfortunately, the couple’s story is far too common. Known for churning out high numbers of cookie-cutter living trusts, Trust Mills prey on senior citizens who are contacted by salesmen over the phone, or invited to attend “estate planning seminars” hosted by non-lawyers. The goal of the Trust Mill salesman is to offer low cost estate planning as a “loss leader.” After drafting a standard will and living trust that often doesn’t comply with Florida law, the Trust Mill will then “upsell” seniors by convincing them to invest in expensive annuities as a means of asset protection. Abusive marketing and sales techniques are used by Trust Mills to “scare” seniors into buying the annuities out of fear of catastrophic loss.

The fact is that with today’s estate tax laws, the vast majority of estate plans do not have to include living trusts, annuities, and other tax avoidance vehicles. Every estate plan should be tailored to each unique individual, and non-lawyer salesmen for Trust Mills are unqualified to give legal advice about your estate planning options. Protect yourself and your family by knowing how to spot Trust Mill scams before they start.

Call the Law Offices of W. Trent Steele in Hobe Sound at 772-408-6969.