If I received an inheritance during an IVA would this go to my creditors ?

[matuk1969]

Hi I'm just about to enter into an IVA and have a question that may not be politically correct but if i received an inheritance during the IVA would this go to my creditors? Thanks

[pollyann]

Hi matuk1969 im afraid so, i had to pay the money from my dads estate into my iva. After the funeral expenses the remainder was paid over.

[Foggy]

Hi. As Pollyann says, the inheritance will be paid into your IVA up to the value of the original debt plus fees. It is covered by the windfall clause.

[matuk1969]

Thank you for your reply,,, my mum & dad would be devastated if that happened I am now not sure which way to go and wonder if bankruptcy might be a better option as that's only 12 months? I owe 50k after a nasty divorce and have no assets or savings but have an income of 45k

[matuk1969]

Thank you foggy I have 14 days to decide what to do ?

[Foggy]

With no assets to protect and assuming BR wouldn't impact on your job -- it might well be worth considering. Have a chat with an insolvency firm to explore all options in detail.

[matuk1969]

I will phone them tomorrow and explore BR i think? Ta

[Michael Peoples]

You could have the will changed to protect the inheritance and any insolvency firm should discuss this with you. You can protect any inheritance.

[matuk1969]

Thank you Michael I will look into that