Loan Plan benefits
Inheritance tax savings
Any growth in investments held in our Loan Plan will be outside your client's estate immediately for inheritance tax purposes.
Clients can select beneficiaries without including this in a will. Use a Discretionary Trust or Flexible Trust for more flexibility.
Discussing this plan can start a wider conversation about estate planning, which could lead to other business opportunities.
Client retains access to capital
As this is a loan and not a gift, it can be repaid by regular payments from the plan or on demand.
If your client dies, payment can be made to beneficiaries or trustees without any need to wait for probate or confirmation.
How our Loan Plan works
The Loan Plan is easy to set up and operate. Your client doesn't give up access to capital – it's simply loaned to the plan.
Your client will automatically be a trustee so also has control over the way the trust assets are invested and dispersed.
Your client establishes a trust, appoints trustees and may nominate beneficiaries. Your client makes a loan to the trustees who use the loan to purchase a Standard Life Bond.
The following bonds can all be used with our Loan Plan:
Repayment of the loan
The loan is typically repaid at a rate of 5% a year over 20 years. Your client can demand repayment of the outstanding loan at any time.
Types of trust
With the Loan Plan, your clients can choose the type of trust that works best for them.
Loan Plan literature
Our literature library has useful information, forms, guides and key documents for our Loan Plan.
Money invested is at risk. Tax may change in the future.