Bankruptcy & inheritence

[Deleted User]

Hi,


A genuine question that is all and isn't about me.


If someone was made bankrupt about 10+ years ago and a wealthy familiar member left a substantial inheritance to said person, would they be allowed to keep it?

National_Debtline

Hi Purplemumof2


This is all about the date the person died. If it was before the date of the bankruptcy order, the inheritance will be claimed as an asset in the bankruptcy.


If the person died after the bankruptcy order was made, but before the date of discharge, the inheritance has to be declared and the OR can claim it as an asset (unless it was property left under a protective trust).


However if the person died after the date of discharge they do not need to declare the inheritance and can keep it.


Best wishes


Susie
@natdebtline

[Deleted User]

Thanks Susie