Customers left worrying about security of their Trusts as Estate Management Company goes into Administration
Customers left worrying about security of their Trusts as Estate Management Company goes into Administration.
On 12th May 2022, it was announced Estate Management Company, Philips Trust Corporation (PTC), were going to administration leaving thousands of customers concerned about the assets in their trusts.
For independent, expert advice on Trusts, or your estate and assets from qualified professional solicitors. Reach out to our expert team either via phone at 01525 378177 or online.
Serious concerns are mounting over the security of thousands of customers assets after the Estate Management company announced it was entering administration. PTC whose accounts are overdue, offer services in will writing service, probate administration, inheritance tax planning and funeral plans as well as trusts on behalf of clients.
An announcement by PTC was due on Friday 20th May, giving customers an update on proceedings. However, radio silence from PTC left customers increasingly worried about the safety of their assets.
In January 2022, the Association of Corporate Trustees trade body, found PTC in ‘serious breach’ of its code of practice and cancelled its membership.
Leeds Building Society confirmed it had introduced members seeking wills and trusts to The Estate Planning Group, comprising The Will Writing Company (TWWC) and Family Trust Corporation (FTC). It said any advice given by the firms was independent of the society and not shared with it.
Leeds added: ‘Late last year, we started to receive correspondence from members unable to contact Philips Trust. We have never had a relationship with PTC, or any influence over them, but we are concerned by the problems encountered by customers.’
Unfortunately, this is not an isolated incident after Universal Wealth Preservation (UWP) collapsed in 2019, taking the life savings of hundreds of customers. Incidents such as these are a stark reminder for customers to do their research and seek expert legal council by specialist Trust firms.
“Trusts certainly have their place as an estate planning tool, and this article is not intended to throw a blanket over the use of Trusts. However, it is situations like this that act as a stark reminder of the dangers of being mis-sold ‘Asset Protection Trusts’ from firms who are often unregulated, or who lack the expertise to provide specialist Trust advice. The purpose of this article is instead to remind customers who are concerned about any of the issues detailed above to seek independent estate planning advice from qualified, regulated and insured professionals. For legal advice, customers should be encouraged to seek advice from professionals who are regulated by the Solicitors Regulation Authority (SRA) or the Chartered Institute of Legal Executives (CILEx); or the Financial Conduct Authority (FCA) if they are looking for financial advice. For Trust specific queries, customers could look out for lawyers who carry a STEP or SFE accreditation, as they are specialists in Trust work.”Tristy Pateman, Head of Wills, Probate and LPA’s at Osborne Morris and Morgan
If you are concerned about the safety of your estate or assets, or need independent, expert advice from qualified professional solicitors. Reach out to the team at Osborne Morris and Morgan either via phone at 01525 378177 or online.