Thursday 8 November 2012

DIY personal injury trust?

Question
Does a person wanting to have a Personal Injury Trust drawn up have to use a professional person to do so, or can he/she write one out themselves. If it is possible to have a D.I.Y. Personal Injury Trust Deed, do you know where would I find a template to help?Answer
The usual rationale behind using a personal injury trust is to protect a compensation payment from affecting your entitlement to means tested state benefits. Although, of course, if the amount is significant and the injury serious a trust also provides a legal means for others (called 'trustees') to manage the money on the injured's behalf and in their best interests.

At their simplest a personal injury trust is little more than a type of bare trust, which is money for old rope as far as solicitors are concerned. However, I'm afraid I've been unable to find any diy versions or templates - so unless any readers can point out a viable alternative it looks like you'll need to use a solicitor.

In more complex cases I wouldn't hesitate to use a solicitor, although trustees should be careful who they use to advise on what to do with the money held within (as the solicitor might try and push financial advisers with whom they have a cosy relationship, with little regard for whether they're actually any good).

Sorry I can't be of more help.

Read this Q and A at http://www.candidmoney.com/askjustin/768/diy-personal-injury-trust

No comments:

Post a Comment