I wish you luck with it Cherry, they are trying to make safe their investment for you and your siblings inheritence which is very nice of them but if you got signed into the house and it all went wrong it would put you in a very awkward family situation especially if they know you accepted being signed on knowing it could happen. If you can't tell your parents maybe consider trusting one of your siblings so that they know why you are refusing and sort you out later in life post IVA. It's an awkward situation but if you are a close family one that can be rectified with trust and understanding.
As Ginger mentioned, this will not always have the desired effect, especially if the transfer ( as it often does in these cases) contains a clause granting your parents the right to reside in the property after the transfer. You could cite this as a reason that you are unwilling to enter into such a transfer.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
They possibly could, but I think, after 7 years, they'd have to make a pretty strong case. Transferring property to children, "In consideration of their love and and affection", has been going on for centuries and is often for genuine reason.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
Social don't technically reverse the decision - however when they "means test the benefits" they will include the value of the house in the capital amount
Check out Age UK - they have a full information about capital amount, savings etc. - which affect contributions from social services
Last edited by ginger3232 on Sun Jan 15, 2012 1:04 pm, edited 1 time in total.
True, Ginger, unlike the OR or HMRC, they simply "ignore" the transaction and factor the house value into the claimants assets. But the end result could well be the same in that the house would have to be sold to raise the funds to pay for the care, which SS will not subsidise.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
Foggy that's what i meant to write
Age UK go into the full complex way they calculate saving/capital amounts etc. etc. So i would recommend the OP prints these off and gives to her parents before they take any action
I am surprised they are allowed to "ignore" the ownership of a property after 7 years. If it's not the claimants house anymore they shouldn't factor it into their equations without having a srong case to do so after such a long time. I'll have to check out the website and have a read.
The probability is that , after 7 years, you should be OK. They will assume that you can't reasonably have been able fo foresee the need for care 7 years hence (after all, many elderly parents remain in their house with the help of family, if required, until the end). However, if, for instance, you had been diagniosed with MS prior to the transfer, or very soon afterward, it could be argued that you knew care would be required and were trying to offload assets.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
Yeah - the 7 year rule is still in place. We recently researched it for mum and dad. Not that I would do anything in an IVA. I would rather them sell some of their equity and have a lovely life but they are 'old school' and want to leave an inheritance.
Its a very fine (blurred line)as there is long term care which the NHS funds, which remains funded by the NHS. So really depend on what condition takes you into care.
As said AGE UK issue advice leaflet etc. - about the definitions/funding issues as there are today !!!
I can understand people being disgruntled paying all their life towards a house, paying tax on their incomings, everything they spend money on, any large gifts they make, any gambling they partake it, pretty much taxed for absolutely everything. They then pass on their lives financial achievement to their children with a loss of 40% in inheritance tax because the Government want even more. I have sympathies for their ways of thinking.
This is the problem with the system today, Ginger. It is so blurred you are often forced to take an action without really knowing what the consequences will be, and the agencies cannot advise as everything is case by case.
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
well GT have said that because I entered the IVA before my name was on the deeds it wont be factored in, unless the house gets put up for sale then I wall have to put money into the pot, but folks are having second thoughts about changing the name on the deeds... which is a bit of a relief!
Sharing from experiences of dealing with debt
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