Trading Standards officials have joined forces with the Law Society to warn people about the risks of using an unregulated Will writer.
The warning has been made by the North East Trading Standards Association (NETSA) following a number of complaints to the organisation about scare tactics and high pressure sales being used by firms to sell Property Protection Trust Wills.
All the complaints are in connection to attempts to sell Property Protection Trust Wills or Asset Protection Trusts, which are designed to help home owners protect the value of their home and safeguard their share of a property in the event of changing circumstances, such as the death of a partner.
It’s said that people are being encouraged to transfer their properties into these trusts to avoid having it classed as an asset if they are later means tested for care home fees.
Howard Turton the Regional Enforcement manager of NETSA has warned: “We are concerned that the victims are typically elderly and are subjected to high pressure sales in their own homes. The average person would have very little knowledge of such products and therefore would be at a significant disadvantage to the caller, who they perceive to be an expert. Wild claims could be made with little likelihood for the homeowner to doubt them. The potential limitations of such products are also not always conveyed to the homeowner. Local authorities have a legal right to overturn any gifts into such trusts where they can prove that there has been a “deliberate deprivation of assets”. For this reason, customers who take out an Asset Protection Trust or similar could find themselves challenged by the local authority at a later date, especially if care home fees are required soon after the trust arrangement is put in place.
“There have been complaints that the companies involved in selling these products are charging considerably higher fees than would be charged by a qualified solicitor.”
The Law Society has also been running a campaign to warn consumers of the dangers of using will writers who are not properly qualified. The Society is calling for will writers to be regulated at the earliest opportunity to stop the exploitation of consumers.
We also advocate using a solicitor to make a Will. There are many benefits, primarily because it gives people peace of mind that specialist dealing with the administration of their estate, or writing their Will, is qualified and regulated to do so.
It appears that all Will-writers will soon be regulated, as we have previously blogged here: Legal Services Board announces Wills regulation. The Legal Services Board (LSB) has announced plans to bring these services within the scope of regulation, regardless of who provides them. We hope this will provide greater protection to people who are making their Wills.
By Wills and probate Managing Partner, Tom Bridge