Offshore Trust Benefits
The fundamental and essential benefit of Offshore Trusts is the offshore asset protection that it offers. Assets are safeguarded and protected from creditors and legal judgments. A UK judge cannot compel a foreign trustee to release funds or assets to a creditor. Offshore Trusts are immensely strong offshore asset protection tools to shield your assets as many of the popular offshore financial jurisdictions do not recognise legal judgments that originate from a foreign country. If a creditor decided to pursue your assets held in an Offshore Trust Fund, then they would be forced to initiate expensive legal proceedings in the Offshore Trust Jurisdiction. It is highly unlikely that a UK / EU creditor would pursue assets held in an Offshore Trust as most creditors see this as a deterrent and do not proceed with legal action in the offshore jurisdiction. Furthermore it is even less probable that the case would be considered by the offshore jurisdiction and even less likely, if not legally impossible, that your assets could ever be touched. The Offshore Asset Protection Trust and the legal statutes surrounding it, therefore, are highly effective in shielding and protecting your assets.
In the Cook Islands, it is possible to name yourself as the sole beneficiary of your Offshore Trust Fund. However, any trustee that is appointed must be licensed in the jurisdiction to be able to provide trustee services. In the offshore jurisdictions that we utilise, they also must be bonded so that an insurance company further guarantees the safety of your trust fund assets. In the event that you are not completely satisfied with a trustee, it is simple to have them replaced. Additionally, there are legal statutes that can force the trustee to take your direction in the event of an issue with investments or assets. These provisions allow you substantial control, whilst technically owning nothing that can be seized through legal action. Your assets are safeguarded from creditors, legal adversaries and judges in these asset protection trusts, whilst you maintain significant control.
Some Offshore Trust jurisdictions have incredibly strong legislation guarding the assets of the offshore trust fund beneficiary. There are certain jurisdictions where the statute of limitations for fraudulent transfers into an offshore trust is just one year. This means that even in the event of a court ruling against you, your assets could still be safeguarded, even after a questionable transfer, simply due to the laws in the jurisdiction in which you established the offshore trust funds.
With 30 years experience, The Offshore Company UK can help you to establish your Offshore Trust and facilitate your asset protection as we establish trusts, bank accounts and offshore companies for a global client base.