Buying back interest in life insurence advice please

CHEZ1

i recieved a letter yesterday asking me what i want to do with regards to my life ins there is no cash in value just payable on death.... so i rang the OR office who said end it, buy it back or leave continue to pay and that will belong to the BRO... i asked what would happen if i buy it back and was told then it would be released to me now when ive looked on here in the past most people say it can still be the OR property even when discharged and for the remander of the three IPA years.... so i asked this question and the lady on the phone says if i buy the interest back then it will belong to me and family should i die my question is ... is that right should i ask for that in writing.... sorry daft question when ive been told by OR office but just want to make sure my family are looked after...... thank you

debtinfo

sort of is the answer.

The policy will become yours again and will pay out to your estate upon death, so it is your policy again and will be forever.

BUT There are completely seperate rules that cover what are called after aquired assets in bankruptcy. This means that if your estate receives cash before you are discharged then the cash goes to the OR. (this applies to all cash you receive before discharge for instance if you won the lottery)

The important distinction to make is that it is the cash that is going to the OR not the policy, that is still yours

the reason that this is important is that as it is your policy again you can change the terms withe policy providor, so for instance you could put it in trust for your children so that it does not pay out to your estate.

Hope that is clearer