I don't think Absolute was asking how can he hide assets from financial aid reviewers. He was asking for ideas on where his assets could be to help minimize the impact on his financial aid. It's the same thing when an adult has a lot of income and wants to position his money in tax advantaged investments. Does that mean the adult is committing fraud by electing to defer compensation, overfund a life insurance policy, or opening a 529 in their own name to avoid paying taxes year to year? All of the above are perfectly legal, i.e. not considered fraud, but all the adult is doing is 'hiding' assets for later. Same thing Absolute wants to do. As for 'mistating' income, I assume you mean misstating, in no way was I suggesting him to flat out lie on the application. If he keeps the funds in his name, he MUST report the income/dividends/capital gains/etc.
its not fraud. More like creative accounting. Something thousands of students do if not millions to get financial aid. You must be one of those people who sat in front of the class and signed up as the teachers assistant? How about the kids who bookcover their books so its nice and neat just the way the school likes it? Wait wait.. How about the kids who never sell their lunch tickets because the ticket said "Not to be sold"
Thank you coolweb. Call it what you want, but is NOT fraud when done properly and within the appropriate legal structures.
Don't you need to deliver some pizzas so that you can keep up on those payments on that 300k you took out on credit cards?
Listen to the both of you....don't you make a fine bunch of misfits! He has money....he wants to hide it from the financial aid people. It is fraud....and the last person on this board I would take any advice from is coolweb! My guess is that you have been selling bullshit for so long...that you have bought into your own crap!
Son, I'm retired , Get back to work. 300k on credit cards hahaha Please educate us on the credit card company which lends out 300k so I can get some.
wow... I didn't think posting on here would result in people questining my morals so much and accusing me of fraud. I'm simply trying to efficiently allocate money to maximize my return. How are you guys in business when you want to do everything in a way that doesn't maximize your edge? I always learned you can't survive without the ruthless capitalistic attitude of getting everything you can get and not putting your tail between your legs. It's not fraud at all, or else all college kids would be in jail. Thanks for all the help guys, didn't think this forum was this hostile... it's ok though. Thanks for the people who understand where I'm coming from and know what I'm asking about.
Absolute, bunch of wannabe goody too shoes who watches marry poppins every weekend, nothing wrong with what you are doing. Except $7k won't make any money at all, don't need to bother with all that LLC thing, Although it is only $150-300 to register a LLC/CORP www.incorporate.com Then register a bank account. For $7k, Just put it in some relatives trading account. Keep on working. Get that degree , Build up the capital.
Wow. I'm surprised that the legalality of this situation is even being debated. I thought it was common knowledge. I don't know why MS thinks it is fraud. Financial planners would not exist if it was. One of their main functions is to advice people on how to place their money in proper ways so that they receive as much benefit/relief as possible. I believe you (MS) are under the assumption that Absolute wants to move assets somewhere so that he can "hide" them and not report them. When in fact, he is legally giving his assets away and has no control over them. So it's not "hiding" at all. Whether or not he plans on getting them back in the future is irrelavent (to the financial aid that is). Its similar to the fact that parents often defer income to their children so it isn't taxed as much. Congress passed a law that only allows so much to be deferred this way (I don't have my book with me, I can't remember what it is). But financial planners will/should tell you to do this because it is legal and saves you tax dollars. Same concept.