Elderly residents should be wary of high-pressure tactics from overbearing salespeople who pressure them into giving them your financial information. Be wary of con artists throwing around probate law terms like “executors.” You should always be suspicious of claims from scam companies promising that you can significantly reduce your estate taxes by creating living trusts. A written will can also help you reduce your taxes and are often less expensive to create. Promises that a living trust will help you receive federal or state government assistance are false. Finally, you should be wary of overinflated claims from fraudulent salespeople guaranteeing that you can save lots of money in federal taxes by creating living trusts.

Only a licensed attorney can help you decide if a living trust would appropriate serve your estate planning needs and only after carefully discussing your goals with you.

Although living trusts can provide some tax benefits, so can other estate planning tools, including making lifetime gifts. Unfortunately, not all consumers understand the specific legal advantages to creating living trusts. Without proper legal training and consulting, consumers often unintentionally overemphasize the utility or benefits to creating living trusts. These myths helped fraudulent and deceptive businesses devise living trust scams. Scaring consumers, mainly elderly consumers, into believing they should create living trusts, living trust scam artists sell fake living trust forms and kits.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

As discussed in the last blog, the Texas Attorney General and Texas Bar brought living trust scams to our attention. Living trust scam artists purporting to sell living trust kits or documents prey upon elderly consumers’ fears. Unfortunately, these kits are often worthless and can cost thousands of dollars. Other living trust scam businesses sell living trust products in an effort to obtain a consumer’s private financial information. Deceptive living trust salespeople may visit you at home or call you by telephone in an effort to persuade you into buying a worthless living trust kit or do it yourself form. The Attorney General of Texas recommends you contact your local law enforcement if you suspect you are the victim or intended victim of a living trust scam.

Con artists selling living trust kits or forms may scare you into believing that using wills instead of living trusts will save you years in unnecessary probate court procedures or thousands of dollars in court costs. You should realize that will contests or claims challenging the validity or authenticity of a probated will are very unlikely. Only a probate law attorney can decide if a living trust is suitable for your estate planning needs, and only a licensed attorney should help you draft this document tailored to your individual needs. A salesperson selling fraudulent living trust services may face criminal or civil sanctions by practicing law without a professional license.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

Beware of living trust scams targeting elderly residents across the nation. A living trust is a written legal instrument allowing you to place your assets into trust for the benefit of your beneficiaries. A trustee manages the living trust on your behalf. The written instrument earns its name from the fact that you create a living trust while you are still living. A living trust may be irrevocable or revocable. You may not alter or revoke an irrevocable living trust document, unlike a revocable living trust, which you can revoke or amend. Living trusts are useful estate planning tools, but they are not appropriate for everyone.

A living trust is not a one-size-fits-all solution to estate planning. Typically, a living trust is only one part of your estate planning documents, which also includes a written will. Furthermore, a living trust must comply with specific state laws, and in Texas, the Probate Code establishes the statutory requirements when creating a valid living trust. A living trust does not help you avoid probate; since a will and a living trust is not the same thing, although they may serve similar purposes. An attorney licensed to practice law in Texas will probably not use prepackaged living trust forms and will help you create a specifically tailored document.

If you fall victim to a living trust scam, you may have a right to cancel your transaction within three days under federal law if you entered into it during a door-to-door sales transaction.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

Choosing between nursing homes can be one of the most difficult decisions that you may have to make, ever.  If you’re helping a loved one choose a nursing home, you likely want to take extra care.  By researching carefully, you can ensure that you’re choosing a high quality facility that will meet your loved one’s needs.  You can also take steps to avoid possible elder abuse. Take a look at the following information, to learn more.  If you have any questions about specific nursing homes, contact an estate planning attorney.

• Don’t Just Take the First Available Nursing Home

Many people take a look at a nursing home in their area, and don’t take extra care to ensure that it’s the best fit for their loved one.  It’s important to handle the decision making process carefully, so that you’re making a smart move.

• Take Elder Abuse Precautions

Have you thought about elder abuse?  This abuse is more common than most people think.  It’s often caused by trusted helpers, especially caregivers and professional care staff members.  It’s important to make sure that the nursing home that you choose is reputable, reliable, and abuse-free.  This can help to ensure that your loved one is always safe.

• When making your choice, consider the following:

• • Are the staff members friendly, helpful, and outgoing?
  • Do other patients seem happy and carefree?
  • Are you able to get all of your questions answered and your concerns addressed?
  • Is the nursing home able to offer recommendations and success stories?
  • Are staff members carefully screened and assessed?
  • Is the nursing home accredited or licensed?
  • Are extra steps in place to keep residents safe?

If you’re comparing nursing homes, make sure that you do extra research.  You can take steps to ensure that your loved one is kept away from possible elder abuse.  If you have any additional questions, or if you need help choosing the best nursing homes, consult with a qualified estate planning attorney.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

Elder law is a relatively new area within the law that has emerged to deal with the fastest growing segment of the population – senior citizens.

With seniors more active and living longer than ever before, a more specialized area has emerged to deal with their specific needs.  Elder law combines several elements of the legal profession to assist the elderly, as well as their loved ones, with many needs, including estate planning, estate taxes, advance medical directives, Medicaid and Medicare and elder rights.

Attorneys specializing in the field of elder law are often consulted on many issues that involve seniors, including:

• Housing needs;
• Estate planning;
• Estate administration;
• Abuse, neglect, or exploitation of a senior citizen;
• Paying for long-term care;
• Social security/Medicaid/Medicare benefits; and
• Retirement and/or financial planning.

Elder law is unique within the legal field, as it is more defined by the clients it serves than the areas of practice of the attorney.  It is one of the few areas of law that takes a ‘holistic’ approach to a client needs.

With today’s senior citizens more active and living longer than ever, they face a new set of legal concerns and challenges that have are becoming more and more evident.   An elder law attorney can assist in addressing concerns and challenges, as well as preserve the rights of the elderly.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

According to the National Center on Elder Abuse, elder financial abuse or exploitation impacts over 2,000,000 Americans each year, and it is one of the fastest growing crimes committed against persons age 65 and older. If this abuse continues, this situation will grow significantly as the baby boomers begin reaching their senior years.  Seniors, family member and caregivers should be on the lookout for these signs:

1. Sudden changes in a senior’s bank account or banking practices, particularly in the account balance and if there are numerous transfers.

2. Uncharacteristic and unexplained withdrawals of large sums of money by a senior or someone acting under a senior’s power of attorney.

3. Large credit card transactions or checks written to unusual recipients, like salespersons, telemarketers, or “cash.”

4. Abrupt changes in a senior’s will or other financial or estate planning documents; the transfer of a senior’s assets to a family member or acquaintance without a reasonable explanation.

5. Complaints of stolen or misplaced credit cards, valuables, checkbooks, or checks from the Social Security Administration, pensions or annuities.

6. Seniors who appear nervous when accompanied by another individual, or who give far-fetched explanations of why they need money.

7. Sudden increases in debt or inexplicable credit card transactions.

8. A person accompanying a senior who bullies the senior into making a withdrawal, or who does not allow the senior to speak for him or herself.

9. New signatories added to a senior’s account or newly formed joint accounts between a senior and another individual.

10. Possible forged signatures on financial transactions, documents for transfer of assets, or new applications for items like credit cards.

An elder law attorney is well versed in the issues facing today’s senior citizens, and can also help you put estate planning tools in place that can reduce the risks of your or your loved ones becoming victims.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

There is no question that elder abuse seems to be on the rise around many parts of the world. When we think of elder abuse, we typically think about physical marks such as bruises. However, it’s important to note that elder abuse isn’t always a physical attack. Sometimes, people are specifically trying to scam the elderly out of money by using underhanded tactics.

Recently, police in Vancouver arrested a man who was trying to scam the elderly out of money using the mail system. When the man was pulled over by police, they found bags and bags of mail in his car. It turns out that the letters in the bags actually included $30 checks from people in three different countries. The alleged scammer was sending out mail to elderly people offering a big cash prize in return for a small payment. It was found that the targets were between the ages of 68 and 94 years old. The man was receiving about 200 letters each day.

It is very difficult to educate senior citizens about the dangers of these mail out scams because many of them are very trusting people. The world has changed over the last many years, but it can be quite hard to explain to a senior citizen who grew up in a very different time. The sad part is that an elderly person will end up on a mailing list where they can be scammed over and over again if they respond to these letters.

If you believe that you know an elderly person who may have been a victim of a scam, an elder law attorney can investigate and help bring things to a resolution. Remind all of the elderly people in your life that they should not respond to any contest that requires them to send money.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

There’s a lot of information floating around about Medicaid, particularly when it comes to paying for nursing home care. Some of the information is reliable, while some is not accurate at all. So, how do you know which information you can trust?  Get the facts from a trusted expert, like an experienced and qualified elder law attorney.  Below are three myths surrounding Medicaid, along with the corresponding facts:

1)      You can simply transfer your assets to your spouse and qualify for Medicaid.  The truth is, your spouse’s assets are counted, as well as yours, for Medicaid qualification purposes. So, signing property over to your spouse won’t accomplish much.

2)      You can give your property away to your children or others in order to qualify for Medicaid. In reality, it depends on the timing of the transfers. Certain transfers, when made within the five years before you file your Medicaid application, will result in a delay in your receipt of benefits. So, simply giving away property is likely to derail your Medicaid eligibility.

3)      You  can transfer assets to your revocable living trust to make yourself eligible for Medicaid.  For Medicaid purposes, property owned by your living trust is treated as if it’s owned by you. While a basic revocable living trust is not a great Medicaid planning tool, there are other strategies that allow you to play by the rules and qualify for Medicaid while preserving as much of your nest egg as possible.

Medicaid planning requires knowledge of the ever-changing rules that govern qualification. The best person to answer your Medicaid questions and to help you with Medicaid planning is an experienced elder law attorney.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

Did you know that a power of attorney, like a Will, can be challenged by concerned or disgruntled loved ones? This is especially true when the person making the power of attorney is elderly. Family members might be concerned about a lack of mental capacity or about their loved one being coerced into appointing an agent against their will.

If you’re worried that your family members might challenge your power of attorney, there are a few steps you can take ahead of time to minimize the risk.

• Get Help.  When you anticipate trouble, it’s smart to get the help of a qualified, experienced expert. Meet with an estate planning attorney and let him or her know your concerns. This will allow your attorney to make the appropriate recommendations and help you take the necessary steps to reduce the chance of a successful challenge to your power of attorney.
• Meet With Your Attorney on Your Own. Particularly if there’s a concern about undue influence, you’ll want to make sure that no relatives or friends accompany you into your actual consultation with your estate planning attorney.  It’s fine to have someone drive you to your appointment and wait in the lobby, but having that person sit in on your consultation could give rise to concerns that you were not the one in control of making the decisions.
• Consider Consulting Your Doctor. If lack of mental capacity might present a concern, your attorney may recommend that you see your physician for a written statement certifying that you’re mentally capable of making a power of attorney. The certification will need to be dated as closely as possible to the time your power of attorney is signed.

These are just a few general suggestions for reducing the chance of a challenge to your power of attorney. Your estate planning attorney can give you detailed, personal guidance.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.

An Alzheimer’s diagnosis means significant life changes, for the patient and for his entire family and circle of friends.  If your parent or another loved one has been diagnosed with the disease, one of the first things that needs to be considered is incapacity planning: who will be in charge of financial and medical decisions as the illness progresses and your loved one can no longer manage these things by himself?

Depending on your loved one’s condition, one of two approaches can be taken.

Incapacity Planning

If an Alzheimer’s patient still has the mental capacity to understand the legal significance of his actions, he can make an incapacity plan. This involves using a financial power of attorney to put a family member or friend in charge of his finances. It also involves using a durable power of attorney for healthcare to name a trusted person to make medical decisions on his behalf, and making a living will, clarifying what end-of-live medical interventions should or should not be used. With an effective incapacity plan, your loved one can rest assured that people he knows and trusts will be in charge of making all the important decisions once he loses the ability to do so himself.

Living Probate

If the patient no longer has the mental capacity to make an incapacity plan, then it’s time for friends and family, with the help of the probate court, to step in.  Through a process known as “living probate”, the court can appoint a guardian to make personal decisions on behalf of your loved one and/or a conservator to manage his finances.

Need more information on incapacity planning or living probate? A qualified estate planning attorney can help.

The Mendel Law Firm, L.P. is a member of the American Academy of Estate Planning Attorneys.