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A friend of mine's mother is very ill and living on her own. Her mother is trying to get fin. aid to help with the next round of surgeries she can't afford but MUST go through to continue through the Parkinson's Disease.
Her mother was turned down due to the truck she owns is higher value than what they agree on (The truck was a gift from the mother's mother so she could get around with something reliable). The rep. slyly mentioned that the mother could "gift" the truck to her daughter and let her mother borrow the truck. The plates, registration and title would be in the daughter's name but the insurance policy would be in the mother's alone.
Is this legal?
Right now, the daughter is upset because her mother is upset and so on. It's a big strain and sadly the daughter get guilted alot - but she wants to make sure this is legal.

(Please don't talk of cheating the system either - her mother is not well and she saw enough illegal people in VERY expensive cars getting fin. help)

2007-03-18 03:02:04 · 8 answers · asked by Anonymous in Politics & Government Law & Ethics

8 answers

Yes that is legal...many people do that with their houses even

2007-03-18 03:09:49 · answer #1 · answered by GD-Fan 6 · 1 1

It's legal, but is this a Medicaid coverage question? If so, there's a 36 month look back period after a asset is transferred. It cannot be transferred for the sole purpose of qualifiying an individual for Medicaid. If this is Medicaid, be clear that the transfer was for estate planning purposes or because mother was not fit to drive. In other words, any excuse except to qualify for for benefits. There are ususally social security paralegal experts in any community. SS is one of the few agencies where a non-atty can represent a client. I'm sure it's legal, but check to make sure the transfer has the desired consequences. This type of legal help is free. Also, I may have made the issue more complex than it really is. I'm positive it's legal, but you could check with your state bar office for an opinion if it involves medicaid. My state bar has free attys.

2007-03-18 10:52:45 · answer #2 · answered by David M 7 · 1 0

Yes it is legal. I have had similar problems and have come to the conclusion that our system is so screwed up that it is time for people, all decent people, to do what is right, moral, honorable etc.. instead of what some oversexed politician decided was in his best interest and got him a few votes. Our legal system is no longer based on right and wrong but only on cover your A..

2007-03-18 10:16:16 · answer #3 · answered by Mike M 4 · 1 0

How sad. I would check with a lawyer. Maybe someone in Y!A has a bit of legal experience in this. I Have heard of "gifting" to your children, if you have a large estate and want to eliminate the "death tax". That's legal...I really can't see a difference with this truck. It is part of her mother's estate.

2007-03-18 10:12:47 · answer #4 · answered by janice 6 · 1 0

Yes It's legal.. Its a shame that she has to jump through hoops to get the help that she needs...
The law establishes a a criteria for financial aid ...How you meet that criteria in no concern of theirs.

2007-03-18 10:12:14 · answer #5 · answered by .G. 7 · 1 0

I am not a lawyer, but yes, it sure sounds legal. Giving a gift is fine, the value of the gift really does not matter.

2007-03-18 10:12:29 · answer #6 · answered by Anonymous · 1 1

Yes I believe it is legal. It's called a loophole. Every judge,jury,prosecutor,and defence use loopholes every day of the legal systems life.

2007-03-18 10:16:40 · answer #7 · answered by the old dog 7 · 1 0

I don't think it is but what state are they in and i can check for you......

2007-03-18 10:10:59 · answer #8 · answered by kows4sale 4 · 1 1

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