Inheritance..

foulplay13

I notice a few negatives here..


It is not my fault the economy has gone into freefall, it is not my fault that my beloved home has gone into negative equity and made our situation much worse..

I voluntarily gave up my vehicle (which was sold at auction), it has left a deficit of nearly £3K..

We have domestic debts from our home, still outstanding..

We are struggling to pay our way at our new rented accommodation.






So please don't lecture me on morals, when nobody gives a * about our plight at the moment.






Hopefully one day I look back on this..



Thanks for the replies.

fermi

http://www.insolvency.gov.uk/freedomofinformation/technical/casehelpmanual/A/AfterAcquiredProperty.htm

xi Can the trustee claim property due under a will?

The trustee can claim an interest under a will which devolves upon the bankrupt before discharge. This means that if the author of the will (the testator) dies during the period prior to discharge of the bankrupt, the trustee can generally claim property bequeathed to the bankrupt under the provisions of section 307.

However, if the will sets up a protective trust the trustee will not be able to claim any property covered by the trust for the bankrupt’s estate. A protective trust usually gives an individual a limited right over something and allows them to use it without giving the right to sell the item in question. It is most commonly used in relation to freehold or leasehold property and allows the beneficiary under the will to live in the property, usually for life, without allowing them the right of sale. Legal advice may be needed to decide whether a protective trust has been created or not.

In all cases, notice of the bankruptcy order (NORD1) must be given to the trustees/executors of the will as soon as possible. If the official receiver becomes trustee a second notice should also be sent in duplicate, with the trustees of the will being asked to return one copy receipted for the file (form NEXE).

Notwithstanding the bankruptcy order, a bankrupt retains his/her right to challenge the provisions of a will under The Inheritance (Provision for Family and Dependants) Act 1975 and the trustee plays no part in such proceedings.

lisamummytoarchieplusbump

foulplay13 wrote: »

I notice a few negatives here..


It is not my fault the economy has gone into freefall, it is not my fault that my beloved home has gone into negative equity and made our situation much worse..

I voluntarily gave up my vehicle (which was sold at auction), it has left a deficit of nearly £3K..

We have domestic debts from our home, still outstanding..

We are struggling to pay our way at our new rented accommodation.






So please don't lecture me on morals, when nobody gives a * about our plight at the moment.






Hopefully one day I look back on this..



Thanks for the replies.

foulplay dont let the negative posts get to you, its basicly part and parcel of this forum.

foulplay13

Ok, then guys from the information I've given, what If I only go BR..
(To protect my partners inheritance)


Obviously the debts in the IVA will be split accordingly.



So what happens about the mortgage?

£165K outstanding with a expected sale value of £130K at best.

Would the outstanding amount be split by the OR, if I am just BR?

Merry_Gentry

If only you go bankrupt, would your OH still be paying the IVA?

foulplay13

money_penny_26 wrote: »

well i dont want to be condemed here,an maybe foulplays choice of words were a tad indelicate.however he did ask a feesable question..which some other of our members may come across and need answering.however i notice poor foulplay has gone off line an maybe wont come back to us.who are we to judje his state of mind as to why he asked this question.i do think we could gave answered him more tactfully here,or do we all have to be very carefull of what we ask in future.i am glad i did not get this responce when i was hysterical when i first asked a question. ..yours in respect penny

Thanks for your comments, my life is in free fall, nothing seems to get any better, like many here I'm looking for ways out..


In answer to the Inheritance value, no it doesn't cover the debts not even by half..

skylight

Your OH may still be expected to release the funds from his inheritance to the IVA people so he still won't get it.

Personally, I would chat to MIL and explain everything asking her to change her will ASAP - if she is very unwell then she may be more accommodating/understanding/accepting (cannot find the right word here) in realising why it needs to be done. Then once its done both you and OH go BR and start a new life; it sounds as if you need one.

I would also look at it another way. If MIL was not ill then you would not be getting the money so there is little difference really in it being given to the OR (although a little harder to swallow). You and OH need to look at your long-term situation and yes, some inheritance would really be helpful to all of us but its not essential.

localhero

foulplay13 wrote:

Is there anything my partner can do either before or after BR, to protect her inheritance, or do we really have to give it up??

The simple solution to avoid assets becoming up for grabs to creditors - or for that matter where a divorce may be on the horizon - is for the person making the Will to leave the estate, or share of the estate to a discretionary trust.

The trustees then simply wait until the appropriate time to appoint the share of the estate to the affected beneficiary.

peachyprice

foulplay13 wrote: »

So what happens about the mortgage?

£165K outstanding with a expected sale value of £130K at best.

Would the outstanding amount be split by the OR, if I am just BR?

Assuming it's a joint mortgage, the whole of the shortfall would then go to your OH, not just half of it.

foulplay13

peachyprice wrote: »

Assuming it's a joint mortgage, the whole of the shortfall would then go to your OH, not just half of it.

I thought so...



Shame they don't know where we are living at present.