In an IVA - Getting a loan from Sister

[Hunter1]

Hi,

My sister has agreed to lend me some money (we need uregent house repairs and can't affort them) and was going to give me a cheque to pay into my basic bank account.

Before I do this I want to be sure it wouldn't be classed as income and my IP would ask for it to go towards the IVA.

Any thoughts anyone?

[MelanieGiles]

Hi Hunter

No - but how do you intend to repay your sister? If you are going to try and pay by instalments throughout the IVA, then this will be deemed as taking credit for which you will need your IP's permission. Probably better to treat the money as a gift, and deal with your sister once the IVA has concluded.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[Hunter1]

Hi Melanie,

My sister has agreed to defer payment until I'm out of my IVA so it is effectively a gift.

I'm just worried about putting money into my account (see my other post today about Accuma and Windfalls).

Thanks

[Sadsack]

Hi Hunter

I find myself in a similar position - I am doing some work out of normal working hours to increase my income so that I can do the little things that make me feel more human! Effectively, although some might see this as cheating, I have opened another basic bank account and pay any monies received into that. I don't consider £100 here and there a "windfall" as I am working my **** off nights and weekends to keep myself going and "afloat"!!

Sue

[MelanieGiles]

You need not worry about this money Hunter, and it does not need to be disclosed to your IP. If your sister wants to pay for your house repairs then this is her business.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk

[Hunter1]

Sue,

I was thinking of doing something like this myself. Just wondered who you opened your accounts with.

I have a Nationwide Basic account which is fine but got turned down by Co-op Cashminder last week.

This may be because they were a big creditor in my IVA but not sure.

Any help would be appreciated.

[Adam Davies]

Hi Hunter
A couple of posts from earlier in the year from other forum members regardng simple bank accounts.

United Kingdom
387 Posts
Posted - 11 January 2007 : 19:50:58
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You can go to the Abbey and open a basic no frills, no overdraft, no chequebook account, as long as you have a driving licence and a passport.



bluebelle
forum expert

Posted - 11 January 2007 : 19:58:45
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I used Natwest because they use Solo and it is accepted anywhere whereas Visa Electron was not. Also, if you go under £10 they will not close your account. It's a basic account with NO credit features not even a cheque book. I opened it over the telephone. I had to take identification into my local branch. A driver's licence,utility bill and a passport was all that was required. This was last year and I may be incorrect about the ID I used ( bad memory) but it was a smooth process

herbek
Senior Member

Andy Davie
IVA.co.uk Spokesperson and site manager
(aka Neverending)

Please check out my blog: http://andydavie.blogs.iva.co.uk

View my profile here:
http://www.iva.co.uk/andy_davie_profile.asp

[Hunter1]

Thanks Andy.

Only thing is Natwest are one of my creditors in the IVA. Would that matter?

[Adam Davies]

Hi
It may well do,best to go with a non creditor.
If you have no luck with abbey,or its not convenient ,let me know as i can provie posts regarding other accounts.
Regards

Andy Davie
IVA.co.uk Spokesperson and site manager
(aka Neverending)

Please check out my blog: http://andydavie.blogs.iva.co.uk

View my profile here:
http://www.iva.co.uk/andy_davie_profile.asp

[Sadsack]

Hi

Try royal Bank of Scotland - they have a basic account and are pretty good.

Hope this helps

Sue