Help?

saulhudson

Hi I'm writing for my new partner?

She has fairly recently been discharged from Bankruptcy and has the following query....

When originally made bankrupt her Dad took her off the will as it was tohught or said that any future inheritance would be taken into account and she would lose any inheritance due to her, so the will was rewritten with her sister sole beneficiary, her Dad is now thinking of putting her back on the will but both are unsure as to what effect this will have on her recent discharge?

philnicandamy

As long as she's not subject to an IPA/IPO then she can do as she pleases after discharge

kepar

philnicandamy wrote: »

As long as she's not subject to an IPA/IPO then she can do as she pleases after discharge

Phil correct me if I am wrong, but I was under the impression that you could inherit in an IPA/IPO and keep the money, as the IP/IPO is only imposed on income. If you earned interest off the money, that would be income and could be paid as part of the IPA/IPO.

saulhudson

philnicandamy wrote: »

As long as she's not subject to an IPA/IPO then she can do as she pleases after discharge

Cheers for the quick response fellas, what is a IPA/IPO exactly?

GoingUnder

kepar wrote: »

Phil correct me if I am wrong, but I was under the impression that you could inherit in an IPA/IPO and keep the money, as the IP/IPO is only imposed on income. If you earned interest off the money, that would be income and could be paid as part of the IPA/IPO.

Can anybody confirm this as we are about to have my wife taken off a will in advance of BR?

Thanks

kepar

I was referring to the OP, that it is post BR.

Ineedaname

kepar wrote: »

Phil correct me if I am wrong, but I was under the impression that you could inherit in an IPA/IPO and keep the money, as the IP/IPO is only imposed on income. If you earned interest off the money, that would be income and could be paid as part of the IPA/IPO.

Kepar, maybe you should have started a new thread to query this, it's only confused the OP and is not relevant to their situation as they have no IPA/IPO.

saulhudson

:undecided Err....so what is an IPA/IPO guys?

kepar

Ineedaname wrote: »

Kepar, maybe you should have started a new thread to query this, it's only confused the OP and is not relevant to their situation as they have no IPA/IPO.

You are probably right INAN, but everyone does it. There are tangents in most threads.

kepar

saulhudson wrote: »

:undecided Err....so what is an IPA/IPO guys?

IPO= Income Payment Order
IPA= Income Payment Agreement

They are imposed by the OR to take any spare money you have after agreeing your SOA. As you do not have one please do not worry. I inadvertently asked a question on your post, which has caused it to go off at a tangent. I apologise to you OP.

Whirlee

I don't think you have to worry about an interest in a will. It's not like an interest in a trust, which you hold right now, its an interest you might have one day and as such I can't imagine the OR having any interest in it. That is of course unless the person making the will dies during the course of bankruptcy, but since your partner is now discharged she can be put back on the will.