Beware of Trust Mill Peddlers

There is no shortage of non-attorneys willing to give advice about estate planning, and this advice is often give for the non-attorney’s own financial gain. 

In Michigan, the State Bar has received numerous complains regarding estate plan salespersons practicing law without an attorney license by giving advice.  The Michigan Attorney General has received complaints of deceptive sales practices by annuity and life insurance peddlers.  The Michigan Office of Financial and Insurance Services has acquired similar complaints.

The peddlers use two primary schemes to access you and your money.  The first is a free lunch or dinner presentation under the semblance of providing estate planning or other information.  The second is the home visit brought about by a lead card mailed to you offering free estate planning information that you fill out and mail back to them.  Some use a combination of the two. 

Peddlers try to sell you a trust plan without knowing your situation or your assets and income.  Frequently, they say you do not have to pick and choose what you want in your estate plan because they know what you need and will provide it.  This is very common with trust mills.  They have a single trust form, allowing them to prepare so many trusts in one year. 

So, how do you protect yourself from the trust mills?  Of course, be on guard and on the lookout.  Use reputable and knowledgeable estate planning, investment, insurance and tax professionals in order to plan for the future accordingly.

See Matt Wallace, Trust Mill Peddlers Are Alive and Well, The Times Herald, Nov. 22, 2014. 

Special thanks to Jim Hillhouse (Professional Legal Marketing (PLM, Inc.)) for bringing this article to my attention.