Is it permissible for a family member to help out during the life time of your IVA who is not connected to your IVA to help out financially. This could be in terms of money advance or use of their credit facilities. I did get approval at start of IVA with My IP to use my Daughter for car finance. Am I right in saying that any IP would have no right to question or demand financial information from someone not directly connected to your IVA.
The IP would have no right to question the third party unless they needed specific information relevant to your IVA. If this information was not provided the ultimate sanction would be to fail your IVA but this would be very unusual and to be avoided at all costs.
So a gift for example of £1000 or interest free sum to help out say for example once or twice a year ie to help out over Christmas birthdays shouldn't be a problem. I am quite fortunate that I have this offer from a family member but at the moment not in a position to provide F@F settlement Just don't want to cause the family member any grieve from my IP nor jeopardise my IVA
This could be deemed slightly differently. The gift could be classed as a windfall as it would be over £500 so probably better if it was paid in stages. The loan could also be viewed as credit and being over £500 this could also be a technical breach.
If the funds were paid to the family and each was to get an amount below £500 I see no problem but expect the IP to raise queries if they are one of the firms who ask for bank statements.
My dear late father in law helped me many a time whilst I was in my IVA and I would view any money given as a gift rather than a windfall.
As Michael states I would take smaller amounts more often to avoid any problems
Michael thanks I see where you are coming from! Sometimes if I am short they will forward £500 to me by bank transfer only for me to transfer it back days later from my salary or part of it but it clearly says on bank statements it is from an individual with same surname. I'm sure I am not alone and everyone will appreciate each month is different from the next especially with a growing family
Just make sure all 'gifts' are in cash from your family. Dont put it in your account & make sure you withdraw all your money out of your account by the end of each month, to make it look like you need it even though you don't.
