timeforchange wrote:
If you win the lotto, thats someone else's money used to pay off the debt...why not.I also agree. In inheritance if the ones[family] giving it knew that it was to be used to pay off lots of debt, its likely they might say its better someone else inherits it for more productive use.Especialy if there are other members of family that need it more!
If I was going to give some money away, I like it to be seen to be used productively[invest in someone say kids education].Not to plug a debt hole that simply cancels the debt problem out.
The IVA does the job of cancelling out of the debt problem, leaving the inheritance for better use.
Take somebody who isn't in an IVA but has loads of debt, be it a mortgage or unsecured loans. Wouldn't you expect and hope that they would clear some or all of their debt. Would it not improve their standard of living, perhaps enabling them to put their own hard earned money to better use.
It may be right to say that the person from whom you inherited might be pleased with how you spend the inheritance, for example clearing an IVA. But just like a lotto win, it is your money to do with as you please. If that includes clearing debt, then so be it.
Also, I see an IVA as a tool to help resolve, not cancel a debt problem. A matter of semantics possibly.
As I am in an IVA, I become a covert in using money to be productive, contribute to others. I would have a heavy heart in accepting any money to pay for a FF settlement if I think the person giving it DOESN'T KNOW its for a debt payment It isn't me lying
but been duplicit. But thats me and everyone is entitled to think otherwise.
If 10k was on the offering, I would say give it to the niece for her education..I have my IVA to sought out my debt.I sleep better.
However, if you are in an IVA then any inheritance would have to go towards paying it anyway. You wouldn't be able to use it for anything else.
Otherwise you can use it how you wish, but one would hope that it would be used to clear any debt.
An IVA is a tool - we should realise that it gives us a second chance and hopefully learn from our previous experiences.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
If I recieved 50K and used it for a debt payment, and my father and siblings never knew of the debt,that would be the end of the brotherhood should they find out....these things just canot be hidden.
Such is family.
Last edited by timeforchange on Fri Sep 04, 2009 2:02 pm, edited 1 time in total.
I wouldn't be telling anyone what I was spending an inheritance on - it's my business and not theirs!
I don't discuss my finances with my parents, as they don't discuss theirs with me.
Proper order!
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Just one question - if I came into some money and used it to pay part of the mortgage (which is obviously a debt) is that not using the money productively?
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Skippy,an IVA is a debt from been insolvent,but having a mortgage or unsecured loan isn't been necessary insolvent. So you know what I will say here, its fine to inherite the £££ to pay off the house and unsecure loan....thats productive.There is somethimg to show for it..YOUR HOUSE PAID OFF.
But not to us the ££ to pay off IVA...UNLESS THE GIVER KNOWS.Its only RIGHT, especially if you have brother and sisters.
Last edited by bankbonus on Fri Sep 04, 2009 2:46 pm, edited 1 time in total.
Sorry, but if I get an inheritance, what I spend it on is up to me - I would not tell anyone what I was spending my money on.
It's nobody's business but yours, and I don't see why you should have to tell anyone if you have financial problems.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
Paying off an IVA is returning money to creditors that you have already spent, as opposed to receiving an inheritance and spending it in the future.
It's a bit like a living will, except that rather than receiving the money while the person was alive, you spent the money before they died.
At the end of the day the money is yours to use it for whatever purpose you see fit (except in an IVA where you have no choice other than to repay creditors).
Here is a scenario....
Take three brothers.
Brother 1: Is in an IVA having originally built up debts massive debts, and has around £50k remaining to pay back to achieve 100p\£.
Brother 2: Has no IVA but has debts of around £50k, plus his mortgage and a car on HP. He is approaching breaking point.
Brother 3: Is a financially secure high flying banker.
They receive some inheritance from parents who had a modest £150k to share between their children.
Brother 1 repays his creditors, and continues with life having learnt some valuable life and money management skills.
Brother 2 thinks 'ooh, I've come into money' and so buys a new car, goes on a family holiday to somewhere exotic and has a loft conversion done. He still has £50k debts.
Brother 3 doesn't really need it, but will take it and maybe invest it to add to his millions.
My question: who would you want to inherit your money?
Last edited by mrw99 on Fri Sep 04, 2009 3:18 pm, edited 1 time in total.
I think that most parents would want their children to inherit their money on an equal basis - on the basis that they probably love their children on an equal basis regardless of their financial situation.
I still stand by what I said earlier - my financial business is mine and who I share it with (if I do share it) is up to me.
Similarly, if I were to ever have an inheritance, or lottery win, what I use it for is my business, no one elses and I would certainly not be sharing this information with my relatives.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
