Just been Discharged....Now inherited money....

R40HYX

Hi guys,

I was declared bankrupt on the 21st Aug 2009, and I was discharged on the 8th April 2010.

My Grandad passed away in Dec 2009, and i have just been told by my mum that he has left me some money, and i will probably be recieveing this in the next couple of weeks......is this money mine, or do i need to declare it to OR?

Thanks for your help

Rachel x

curly04

Hiya

If you are discharged i think the money is yours to keep unless you have an IPA

magicgirl

Sorry if this puts a downer but i think you may need further advice. I think there is a clause whereby if the money is due to you before your discharge, then it may be taken as income from during the br. Even if you don't have IPA, you mayneed to declare it.

RichesToRags

Magicgirl is right. It's not about when you recieve the money, it's about when you become entltled to it and if this is before discharge (which it would appear to be) then you need to inform the OR.

If you were not specifically named in your Grandfathers will and this is just your mother wanting to give you a share then that is a different matter entirely.

dojoman

As far as I am aware, as you will still BR when your grandfather passed away, then the OR will have a claim on it if it has been left to you specifically.

fermi

From the OR's own guidance.

"One of the most likely circumstances where the official receiver will make use of the provisions relating to claiming after-acquired property will be where the bankrupt receives a bequest under a will. The key date in this respect is the date of the death of the person who made the will. So long as the person dies prior to the bankrupt’s discharge, the property bequeathed can be claimed even where it is not received by the bankrupt until after his/her discharge."

You also have a legal duty to inform the OR of any property that devolves upon you before you are discharged. In the case of money/property under a will, it devolves on you when the person dies.

stradlinho

Would the OR find out if the OP didn't inform them?

debtinfo

is it ok to break the law, if you dont think anyone will find out?

dojoman

stradlinho wrote: »

Would the OR find out if the OP didn't inform them?

Why risk the wrath of the OR?

JCS1

stradlinho wrote: »

Would the OR find out if the OP didn't inform them?

Depends how much, but the bank might tell the OR if a large cheque was paid in

pepsi662400

I believe the OR has the legal right to re-open your case up to 6 years after discharge. I was told this when I inquired. They would however only re-open if they thought there was good enough reason to re-open. a interest and ££ in a will would be enough. Even though you have been discharge and released from the bankruptcy restrictions, the OR remains Trustee of your estate during this period.

I realise for anyone about to jump in a say that they have received a letter stating the OR is applying to the Secretary of State be released as your trustee, but the Secretary of State also can also give permission to re-open. Therefore they can re-open your case.