Every person has his own assets no matter how poor he may be. Assets are things of value such as stocks, bank accounts, real estate, investments and more. In our day to day activities, we put our assets at risk in doing businesses with others. Liabilities arise from it and might take our assets away.

How can one protect their assets? This is the very common question for everyone. There are several ways to protect a person’s assets. A very simple example of asset protection is transferring a poor man’s bank account to his daughters name so that his creditor can’t take it away. He might appear already bankrupt when the truth is he’s not.

What is asset protection? It is the process by which a person takes steps to avoid the risk of their assets from being seized by creditors. There are two common forms of asset protection. These are the domestic and the offshore protection. Setting up a Nevada corporation is the most common example of domestic asset protection. This is so because the corporate asset of an individual is distinct and separate from his personal assets. Nevada is tax-free and doesn’t report any income to Internal Revenue service. When being sued, the plaintiff’s lawyers will turn first to tax records as form of asset search. They will surely unable to find one.

Offshore asset protection is simply putting one’s money outside the country where the United State’s judgments are not recognized by offshore courts. By establishing an offshore corporation, one created an entity to hold his assets but it is still for his own benefits. A representative is nominated for offshore corporation but you still hold control of the revenues. This makes your business affairs anonymous. Because of this, searchers cannot locate your offshore assets.

Are you familiar with “Swiss bank account”? This is an offshore alternative of storing money as well as tangible assets such as diamonds, gold and more. Offshore bank accounts are famous because US asset searchers and lawyers can’t trace them.