My sister has IVA for the past 3 years now and my mother has recently passed away. Her flat will pass to myself and my sister. There is also some money to come to both of us too. How will this affect my sister - especially on the property side of things?
This will certainly be deemed to be a windfall and your sister will be obliged to pay her share of the inheritance into the IVA. This could mean that you will have to raise a mortgage to buy her out or else the property will have to be sold.
Potentially your sister could end up paying the debts in full plus statutory interest and costs so you both should speak to your solicitor to protect everyone's interests.
Any inheritance due to your sister, including property, will be classed as a windfall, and as such should be paid across to her IVA.
It may well be that there is enough in the house once sold, to pay off all of her debt in total and so complete the IVA.
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
