ComplaintsforLegacy Enhancement

• Initial Complaint

  11/07/2023

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  I hired this company to be the trustee of my daughter’s minor trust fund. This company is giving out false information, in particular there is a list of approved and unapproved items that the trust can be used for but when asking about the process, approved items are quickly unapproved. The company lied to get me to decide to choose their company. The person who signed me up mysteriously doesn’t work there anymore and I’m given evasive answers about what her position was and who now holds that position. The trust officer and her supervisor are providing false legal information to me and anytime I have a question I get short snarky and unintelligible answers. I asked to have my trust officer reassigned and was told that it was not possible. I asked who my attorney could contact at the office and was denied any contact information.

  Business response

  11/09/2023

  This is a Minors Pooled Trust.  The Minors Pooled Trust (MPT) was established to protect & preserve the money belonging to the minor.  The minor in this case is five years old. 
  
  Legacy’s MPT is chosen by many courts and judges across the United States due to the protective nature of the trust and its ability to preserve funds for the MINOR to have and use later in life.  Afterall the funds were awarded to the minor.  According to the guidelines of MPT, funds can only be released for health & education up until the age of 18 at which time the trust can assist with additional needs but on the direction of the now adult beneficiary. 
  
  Attached is a list of Allowable & Restricted Purchases for our MPT.  This list is again approved by the guardian ad items, courts and judges across the United States due to its restrictive and protective nature. According to the guidelines established at Legacy Enhancement the following applies:   Distributions will not be made if determined that the item should be categorized as one of parental responsibilities of support.  Providing for a child’s basic needs (food, water, shelter) are those of parental responsibility. 
  
  It is Legacy’s stance that a minor should not have to purchase a vehicle or home for his or her family.  Legacy is always willing to review each case individually. Legacy had already made an exception for this MPT to the guidelines by releasing funds for the entire cost of the vehicle from the Minor’s trust rather than just assisting with allowable transportation expenses (gasoline assistance, etc.).  In this case the five-year-old minor bought a vehicle. Releasing funds from a five year’s trust to purchase a home for the family is not one that we can permit. 

  Feel free to contact Judy H*********** Operations Manager, ************

  
  

  Customer response

  11/09/2023

  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID ********* and have determined that this does not resolve my complaint.  For your reference, details of the offer I reviewed appear below.
  
  This company has provided a false response for reasons given about why a minor's trust cannot be used to purchase a home. I have attached my email responses which display the company given out false legal information and a completely different reason for why this trust can't purchase a home. Also, I asked to have my trust officer changed, was told this was not possible. That issue has still not been addressed. I also asked for a contact for my attorney to discuss these issues and was not given the information. I have also attached the allowable/unallowable purchases list that is displayed on the website. This company is dishonest and still has not addressed the issue.
  
  Regards,
  ****** *****

  Business response

  12/12/2023

  The beneficiary in this case is a Minor. She is four years old. She has a Minors Pooled Trust. The list of allowable & restricted items for a Minors Trust is attached for reference. The list was attached by the parent is for our Pooled Special Needs Trust.
  
  The minors trust can assist with Health & Education up until the age of 18 at which time it will become less restrictive.
  
  
  The parent is referencing the POMS in her email chain that is attached. POMS is irrelevant in this case because the beneficiary does not have a Pooled Special Needs Trust. She has a Minors Trust. The rules of POMS do not apply to a Minors Trust. The rules of the Minors Trust are created & established by Legacy Enhancement. Judges & courts across the United States use our Minors Trusts because of their restrictive nature.
  
  Judy H**********

  Customer response

  12/12/2023

  Better Business Bureau:
  
  I have reviewed the response made by the business in reference to complaint ID ********* and have determined that this does not resolve my complaint.  For your reference, details of the offer I reviewed appear below.
  
  Legacy Enhancement continues to be dishonest and lacks accountability for their false advertising . In the last attachment that I sent, that allowable/non allowable list is posted on their website for both types of trusts. Again, I have asked this company to both change my trust officer and to take down their false advertisement as it scams people into choosing their company as it did me. I would have never chose this company if I knew they were going to be this dishonest so early on in our relationship. Legacy Enhancement continues to curtail and ignore the issues set forth in my complaint and still offers no resolution but instead bogus justifications that include inaccurate information and more dishonest answers.

   
  Regards,
  ****** *****

• Initial Complaint

  08/23/2023

  Complaint Type:

  Service or Repair Issues

  Status:

  Answered

  More info

  So my child who is a minor (15yrs old) has a account there and I'm in the process of buying a house and was told and it's in the current manual as well as a contract has been signed stating that funds can be used to pay my son's portion of the closing cost. But was told from the trust officer Devin M***** that it could be done as long as a check list of things were completed, but she then checked with her supervisor (Carrie M********* that it could not due to he was a minor, so I spoke with Carrie M******** as well as my Realtor and she told us that they are in the process of revising their manual that they could not release the funds. But the current manual states otherwise and they have already according to my realtor signed the contract for the release of funds and now are renigging on the contract that they have signed as well as it is in writing in their current manual.

  Business response

  08/29/2023

  
  The owner of this trust (the beneficiary) is a minor. 
  
  Funds from a settlement for this minor were directed to be placed into a Pooled Special Needs Trust.  
  
  The joinder agreement for the Pooled Special Needs Trust was signed by the grantor on behalf of the beneficiary (the minor) agreeing to the terms of the joinder. 
  
  Within that joinder agreement:
  On page 2 of 17 letter (c ) Sole Benefit:  While the beneficiary is living, the sub-account will be administered solely for the benefit of the beneficiary.
  
  On this same page letter (g) States that the grantor recognizes that all distributions from the sub-account are at the Trustee’s sole & absolute discretion and that he or she has no right to compel any distribution from the Trustee.
  
  The PSNT (POOLED SPECIAL NEEDS TRUST)manual, that is referenced in the complaint IS NOT a contract.  It is a manual that outlines processes and procedures.  It is also clearly stated within the manual that it is subject to change.
  
  The grantor is correct the manual that was sent out to this family does outline information relating home purchases pertaining to minors. 
  
  On page on pages 15-16 of the manual that the grantor is siting (included in this email) is a list of allowable & restricted purchases.  On the top of page 16, there is a statement that reads as follows: Distributions will not be made if determined that the item should be categorized as one of parental responsibilities of support.  (Below is what is state in manual that Grantor attached on pg 16).

  Not Permitted

  Distributions will not be made if it is determined that the payment would adversely affect the beneficiary's eligibility for services or supports.

  Distributions will not be made if determined that the item should be categorized as one of parental responsibilities of support.
  
  Especially when the minor is the owner (beneficiary) of the trust, as Trustee, it is our responsibility to ensure that funds are being released as per guidelines that will protect & preserve the beneficiary’s benefits.  In addition to that we must ensure that funds are released for the beneficiary’s sole benefit.   Requiring a minor to assist in the purchase of their home is not considered to be an appropriate or allowable.  There are circumstances where we have released funds for such purchase. Those circumstances are when it is Court Ordered by the courts or when a beneficiary is requires an adapted home that would not otherwise be needed by the family.  Nonetheless, when this is the case, there must be adequate funds in the trust to cover the entire home & place the home in the trusts name to protect the minor.  In this case, grantor was requesting that the minor pay his portion of the closing fees (not sure here).  This is not an allowable transaction as that minor would then have no claim to the home later in life as a minor cannot be placed on a home agreement/deed. 
  
  Please note: Since the funding of the trust and over the last six months, Legacy has released to this minor beneficiary’s mother $14,644.31 for allowable items for the minor. 

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