Inheritance clause (age)

Jojo_the_Tightfisted

Mayfair4 wrote: »

Hi, never posted on here but looking for some advice, i am 19 and a student at uni going into my second year, unfortunatley over the past year i have accumulated about £2800 of debt on various overdrafts etc. this is not a major problem because most are 3 years interest free which is nice, however I am completely broke with no way of securing a house for next year and am struggling to get by day to day and iv already borrowed from my mum

however my gran passed away when i was 13 and i was left £17k in trust until im 21. since then im told this has increased to £21k thorugh interest. my other gran is the executor however i have not seen her in nearly 3 years

my question is, is it possible for me to use even 10-20% of this money to survive over the next couple of years, becuase as it stands im going to be living in complete poverty for 2 years and then have £21k overnight which just doesnt seem sensible.

i know is unlikely as is a legal contact etc. etc. but any info on where to go who to speak to or if its possible would be greatly appriciated

What did you accrue the debt on? Student loans, part time work and summer jobs do just about cover fees, rent and food. Shared houses aren't that expensive for students and a car isn't essential.

My eldest is in her last year at Uni. She got a job, moved out from halls and shared a house and, despite being one of life's spenders rather than savers, she's perfectly capable of making ends meet despite living and studying in London. What happened for you to be broke?

Spending the money now would be a potential waste - you'll need it even more when you have to leave student accommodation, buy work specific clothing, commute and pay bills.

jackyann

I would begin by getting good advice about managing your money so that you don't continue to run up debt. I know that some courses are expensive, and some are time-consuming and awkward so that a part-time job is not feasible, but you do need to take control.

I would talk to someone in the family that you trust about contacting your grandmother. They may also know the terms of the trust - it is common to have conditions such as releasing money for education.


Do be careful - getting in to debt is horribly easy, and you really don't want to fritter about £20k on the kind of random stuff young people often buy.
Use this as a wake-up call about managing money. If you do tap into it to pay off your debt, try not to take any more. That will be a very useful nest egg in the future.

Savvy_Sue

I believe a trust has to have at least two trustees, so you need to find out who the other is. And work out a strategy for contact ...

Mayfair4

thanks for all the responses,

I was awarded student loan however this is £4250 a year, my accommodation is £3900 so after the rent goes out each time i'm left with £120 +my overdrafts hence why i am overdrawn and i'm more than aware I have spent too much too fast but i don't intent on releasing some of this money to go wild and blip it all, just so am not worrying about money all the time.

And from what i can gather my best course of action would be to ask my grandma the trustee for an advance and the decision is at her discretion?

also what if the money is locked up in some sort of investment im guessing even if my grandma permitted her hands would be tied?

and finally what if she says no? am i stuck until im 21?

thanks for replys advice huas been helpful

Mupette

is there a reason for not finding part time work?

Savvy_Sue

Mayfair4 wrote: »

And from what i can gather my best course of action would be to ask my grandma the trustee for an advance and the decision is at her discretion?

Correct. However, as I said earlier, it would be surprising if there was just one trustee so you need to be aware of that.

Mayfair4 wrote: »

also what if the money is locked up in some sort of investment im guessing even if my grandma permitted her hands would be tied?

Indeed. Or the terms of the trust might be such that she is not willing to break it.

Mayfair4 wrote: »

and finally what if she says no? am i stuck until im 21?

If she either says no or is unable to say yes, then you're stuck until you're 21.

Mayfair4

I have applied for over 50 jobs in the past month or two and have had about 7 responses, 3 of which led to interviews and 1 of which at Aldi i'm now on stage 3 of the process and waiting to hear from them,

as for the inheritance i will have to go and see my grandma when i go home for summer and see what she says hopefully ill catch her on a good day, Anyway thanks for the help has clarified a few things for me, and thanks savvy sue for detailed replies

Mojisola

If I was a trustee of a young person's inheritance, I would be more inclined to release some money early if he/she showed that serious thought had gone into managing a budget.

If the young person said - "I'm in debt and need to be bailed out, can I have some money" - the answer would probably be no!

If he/she said - "I'm struggling with money while at uni. I've drawn up a spreadsheet of income and expenditure for you to have a look at. I've managed to get a job to earn some extra money. It would make a lot of difference to my life if I could have some of my inheritance early" - there would be much more chance of me being sympathetic.

The Debt-free Board is very useful for people in debt or trying to stay out of it. If you post a Statement of Affairs, people will give good advice about how best to manage your money.

j.e.j.

Also bear in mind that 'grandma' is likely to be from the generation where they got everything paid for, - student grant, no tuition fees, able to claim housing benefit in the summer break, etc etc

Sometimes that generation can't understand how difficult it is for a youngster these days to manage financially while studying.

missbiggles1

j.e.j. wrote: »

Also bear in mind that 'grandma' is likely to be from the generation where they got everything paid for, - student grant, no tuition fees, able to claim housing benefit in the summer break, etc etc

Sometimes that generation can't understand how difficult it is for a youngster these days to manage financially while studying.

You certainly couldn't get HB during the summer when I was a student in the 70s, although you could claim supplementary benefit. Mind you everybody I knew worked in the summer and at Christmas as well.