www.iva.co.uk

Can you tell me if i was to come into an inheritance while i am on an IVA do i have to declare this to my cretiters or would the solicitor automaticly inform them of this.

Hi,

I would think you would have to inform your IP and it will be classed as a windfall

I agree with Ray that you would need to notify your IP and the inheritance would be captured as a windfall.

Its best not to have or inherit anything in an IVA.....until its finished. You will be looking at paying creditors near at 100% of your debt?

Unfortunately we can't ask people not to die whilst we are in an IVA!

You would have to notify your IP. Depends on how much you inherited as to whether you would get to keep any of it.

If you do end up paying 100% of your debt what is the problem Bankbonus?

Bankbonus,

If you pay 100% back so be it - after all you borrowed it in the first place.

I agree - I wished I could pay back 100% but I know it's not going to happen.

Jan,

Same here, would love to pay it all back but alas unless I win the lottery not going to happen or if I bump off a family member lol [:D]

I know I ended up going BR, but if I could have paid back the money that I owed I would have done so.

No point in bumping off any of my lot Ray!

Me neither! My parents have no money at all, and if I win the lottery, then at the moment it's split between 14 of us at work as I no longer do it at home!

If you win the lotto, thats someone else's money used to pay off the debt...why not.I also agree. In inheritance if the ones[family] giving it knew that it was to be used to pay off lots of debt, its likely they might say its better someone else inherits it for more productive use.Especialy if there are other members of family that need it more!

If I was going to give some money away, I like it to be seen to be used productively[invest in someone say kids education].Not to plug a debt hole that simply cancels the debt problem out.

The IVA does the job of cancelling out of the debt problem, leaving the inheritance for better use.

you beat me to the answer TFC...(see above)that is what I would have said in response.People confuse paying off debt with ONLY a lotto win, I am talking about using inheritance. Not the same I am afriad. Again, If I was giving money away I also want to see it been prductively used.

IVAs are better to deal with debt not inheritance, what would other members of the family say?? I think there will family wars.Its as in one of Michael Jackson's song -'human nature'.

The person providing the inheritance should know about the debt, but often this is kept quiet from the post that I have seen and I don't agree with keeping debt a secret from family.

Hi,

The IVA in most cases only pays a small percentage back of what you borrowed, if you receive a windfall i.e inheritance during the term of the IVA then you pay back the whole amount that you borrowed in the first place.....period!!!

I am never going to come into an inheritance.

I would not be telling my relatives anyway - if I could pay my debts off in full, then I would. Regardless of how I came by the money.

You may not agree with keeping it secret, but some of us know what our relatives would be like and I'm happy that we are dealing with this on our own without worrying anyone.