child Trust Fund

Get expert opinion. This is the place for new questions to be posted.
12 posts Page 1 of 1
 
 

vidal.de

User avatar
Posts: 12
Joined: Fri May 21, 2010 11:29 am

Post by vidal.de » Sun May 30, 2010 11:49 am
Hi my proposal for IVA has just been signed and a meeting of creditors is to be arranged soon by my IP. I have a child Trust Fund for my daughter with one of my creditors will the IVA affect it? Do i have to transfer it to another place, advice please.
 
 

kallis3

User avatar
Forum Expert
Posts: 77170
Joined: Mon Mar 17, 2008 4:02 pm
Location: United Kingdom

Post by kallis3 » Sun May 30, 2010 12:30 pm
Hi,

I would think that it would be ok, but hopefully one of the experts will be along to advise further.
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
 
 

plasticdaft

User avatar
Forum Expert
Posts: 9562
Joined: Wed May 21, 2008 12:45 pm
Location: United Kingdom

Post by plasticdaft » Sun May 30, 2010 12:33 pm
Given that your proposal has been signed what did your IP have to say about the trust fund?? I am not sure whether creditors would want this or not,but if there is any significant amiunt sitting I would have thought an IP would have told you prior to your signing anything.

Paul
Discharged today the 8th feb 2012. View is much brighter now.
Continuing to rebuild our credit worthiness.
 
 

Shining

User avatar
Posts: 27019
Joined: Thu Sep 20, 2007 8:57 am
Location:

Post by Shining » Sun May 30, 2010 12:34 pm
Hi, I'm sorry I don't know a definite answer to this but do know a professional will be along soon to give you a concise answer x
IVA final payment left the bank on the 26th January 2013...looking forward to a debt free future.
 
 

Skippy

User avatar
Posts: 20720
Joined: Sat Oct 21, 2006 6:08 pm
Location: United Kingdom

Post by Skippy » Sun May 30, 2010 12:40 pm
I agree with the others. As the money is in trust I would have thought it would be safe.
 
 

plasticdaft

User avatar
Forum Expert
Posts: 9562
Joined: Wed May 21, 2008 12:45 pm
Location: United Kingdom

Post by plasticdaft » Sun May 30, 2010 1:02 pm
Skippy wrote:

I agree with the others. As the money is in trust I would have thought it would be safe.
But surely if you have been putting money into a trust(and I am making an assumption that this is the case),rather than making payments to creditors,then creditors would see this fund as being money they have a right to. If however all the money in the fund was put there by a relative as gifts then thats another matter.

Its surely the same if you have £500 of shares that you bought a year before entering an IVA. Creditors would expect this to be released into the pot.

I am sure Mel will have the definative answer for us all soon.

Paul
Discharged today the 8th feb 2012. View is much brighter now.
Continuing to rebuild our credit worthiness.
 
 

kallis3

User avatar
Forum Expert
Posts: 77170
Joined: Mon Mar 17, 2008 4:02 pm
Location: United Kingdom

Post by kallis3 » Sun May 30, 2010 3:22 pm
It's the government trust fund though by the sounds of it, so the money belongs to the child and can't be touched until the child reaches the age of 18.
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
 
 

Til

User avatar
Posts: 845
Joined: Wed Aug 06, 2008 12:04 am
Location:

Post by Til » Sun May 30, 2010 3:29 pm
We have one of these for our daughter - not that we pay into it at all now - but it is in my daughters name until she is 18 and we intend to invest more in it for her after the IVA is over.

I would assume that anything already paid in to it would now belong to my daughter but also that creditors would not allow a budget for continuing additional payments whilst in an IVA.
"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.
 
 

kallis3

User avatar
Forum Expert
Posts: 77170
Joined: Mon Mar 17, 2008 4:02 pm
Location: United Kingdom

Post by kallis3 » Sun May 30, 2010 4:01 pm
I think that if you can make any payments out of savings from your allowances then you can pay them into the account.
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
 
 

MelanieGiles

User avatar
Industry Expert
Posts: 47612
Joined: Tue Jan 09, 2007 10:42 am
Location:

Post by MelanieGiles » Sun May 30, 2010 6:08 pm
The trust fund is held in trust for your daughter - so it does not need to be included into the IVA and would not be a vesting asset under bankruptcy proceedings either.

You can continue to save into the account, but only from monies which are not available to creditors - ie out of your share of uplift payments.
Regards, Melanie Giles, Insolvency Practitioner
 
 

kallis3

User avatar
Forum Expert
Posts: 77170
Joined: Mon Mar 17, 2008 4:02 pm
Location: United Kingdom

Post by kallis3 » Sun May 30, 2010 7:01 pm
Would that include any savings you could make from your monthly allowances?
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
 
 

MelanieGiles

User avatar
Industry Expert
Posts: 47612
Joined: Tue Jan 09, 2007 10:42 am
Location:

Post by MelanieGiles » Sun May 30, 2010 9:43 pm
I wouldn't do that - it would be more difficult to get the money back when it was needed. Better to just put that in a separate account where access is relatively easy when expenditure is required.
Regards, Melanie Giles, Insolvency Practitioner
12 posts Page 1 of 1
Return to “Ask IVA Forum and Industry experts”