gifts or windfall

[neddis]

Hi all, firstly can i say that i have been in an iva now for 7 months and although things can be tough compared with life before its a dream.

Now to my question, as i understand personal gifts are allowed in iva's, not that i'm likely to receive one but when does a gift become a windfall, £100, £1000 or more obviously the more you can give to creditors the better but how is this defined?

[MelanieGiles]

A gift is never a windfall, as it is something that you only become entitled to as a result of the kindness of another person - however I would suggest that your family and friends refrain from providing too many gifts whilst you are in an IVA.

If, for instance, someone were to "gift" you a villa in Spain or a Ferrari you might find that your IP stakes some form of claim over it!

[neddis]

Thanks Melanie,

I wish I was in line for a gift like that, but i was just interested to see if a gift such as that could be classed in another way, and as you state maybe it can. Is there any uppper limit on cash gifts?

[MelanieGiles]

Not really - but I would say that anything over £500 may raise suspicions.