(NEW YORK) — A dangerous financial scam is targeting seniors in Colorado and throughout the United States, according to Top Estate Planning Legal Expert Russel Morgan, founder/partner at Morgan Legal Group in New York.
More than 3.5 million seniors are scammed every year, reports indicate, with an average loss of $35,000 per victim.
“Will and Trust Mill” scams are one of the ways these seniors are victimized. In this type of scam, a company advertises very low-cost wills and trusts, as low as $399. They then use high-pressure sales tactics to sell high-cost insurance and annuities.
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“These non-lawyer estate companies, also known as “Will and Trust Mills,” are generally not licensed to give legal advice and may be receiving compensation from other referrals they may be giving you, such as financial advisors, insurance brokers, and accountants,” said Morgan.
“Always consult with an attorney licensed to practice law in your state at a minimum for peace of mind that your Last Will & Trust are correctly done and, if necessary, to make sure an attorney properly prepares them,” he warned. “Do not disclose sensitive financial information to these non-lawyer companies or give out your social security numbers, Date of birth, or any payment information (credit/debit card numbers or bank account information). There is no “one size fits all” will or trust; these are sensitive documents that must be tailored to your goals and expectations and, most importantly, consistent with your intent.”
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Will and Trust Mills scare elderly victims into thinking they will lose all their money if they don’t take immediate action. Estate planning scams tend to target seniors because they have more assets. Also, they are closer to the age of death which makes planning seem more urgent. In addition, many seniors experience a decrease in decision-making abilities due to age, which makes them vulnerable to fraud.
What should you do if you realize that you or a loved one have fallen victim to a Will and Trust Mill scam?
“Call a lawyer immediately to see how to rectify, revoke, re-write, and, most importantly, avoid or mitigate any damage that has been done or can be done during your life and after your death if you fail to take action,” said Morgan.
