It is difficult for creditors to garnish an offshore bank account because U.S state courts do not have jurisdiction to issue a writ of garnishment against a foreign bank with no U.S. branches. Keeping cash out of creditors’ reach would not be difficult if all one had to do was open a foreign bank account while making required IRS disclosures.
I’ve said before that I have learned about some of the cleverest asset protection tools from my clients. An new asset protection client owned a very successful internet based business. The business generated revenues of over $ 1 million each month- that’s $12 million or more annually.
Some of my clients come into my office with tips and tricks they have learned themselves which they believe will protect assets. People think that they can protect cash simply by depositing the money in an offshore account; Swiss bank accounts are the most popular. Continue reading
Setting up an offshore trust or a limited liability company involves hiring a trustee or LLC manager in a foreign jurisdiction. The offshore entity works well only if the debtor owner/beneficiary irrevocably gives the offshore manager control over the LLC and investment of LLC assets. Continue reading
New client is confident he has protected a substantial of cash proceeds from the sale of a business by depositing the money in a bank branch in his native country of Ecuador. He is confident that none of his creditors could figure out how to domesticate a U.S. civil judgment in Ecuador. Continue reading