If someone in an IVA inherited an estate and was made Executor ... how does this work.
For example, if I was made Executor and the estate was paid to me, but with a view to the fact that I then had to trace other heirs and pay out to them, would this be possible whilst in an IVA?
Just curious what would happen if say I was asked to hold onto large funds of money until the estate could be dispersed?
Was talking to a friend who's also in an IVA about this and I really didn't know the answer?
"Hope is the feeling you have that the feeling you have isn't permanent." - Jean Kerr
IVA approved Aug 2008 - 6 year term - last payment made 6 Oct 2014. CC received 14 Nov 2014.
As an executor you have no "ownership" of the estate (save any portion specifically left to you personally).
Everything is held in the ownership of the estate and only administered by the executor(s) until such time as it is transferred to the named beneficiaries.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
Ah thanks Foggy that makes sense now. I was wrongly assuming that the minute anything was paid into the IVA persons account, before being distributed to beneficiaries, it would have to be paid to the IVA. Or that a person within an IVA could not be an executor.
Further to this, do IP's have jurisdiction to allow a portion of any inheritence to be kept to fund things such as home repairs ?
I'm only taking about serious things like a broken down boiler or serious home issues - or perhaps if a car was broken down and needed for work, would the IP be permitted to authorise a portion of inheritance be kept to cover these things?
Last edited by Til on Wed Apr 09, 2014 4:58 pm, edited 1 time in total.
"Hope is the feeling you have that the feeling you have isn't permanent." - Jean Kerr
IVA approved Aug 2008 - 6 year term - last payment made 6 Oct 2014. CC received 14 Nov 2014.
Nothing gets paid into the Executors personal accounts. It will sit in the estates account, or in a client account opened for that purpose, to provide a clear audit trail.
I am not sure how far an IP's discretion goes with regard to windfalls and, hopefully, an expert will enlighten us in due course.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
Under the IVA Protocol the IP has absolute discretion with regard to the pursuance of windfalls - but this has to rest against our ultimate role to maximise returns for creditors. In which case any leeway would have to be full justified and disclosed to creditors.
