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Hi I am in an IVA the settlement was 50p in the pound, £100 per month for 12 months then remortgage of house to release final £25.000 in the paperwork there was a clause that if I was to receive a windfall including an inheritence that would need to be disclosed, my Mother is terminally ill if I was to inherit anything in the future Would I have to pay the full amount e.g £56.000 or the amount that was agreed on the proposal which is £25.000. I hope you can help, at the time of the proposal we didn't know our Mother was ill.

Hi mikeh and welcome to the forum

If you receive an inheritance whilst the IVA is still in existence, this has to be handed over to your Supervisor for the benefit of creditors. You would need to pay sufficient monies to discharge your creditors in full - ie the £56,000 - together with the IP's outstanding costs. If the inheritance was more than this, you may also have to pay statutory interest at 8& per annum on top - so check the terms of your actual arrangement in this regard.

Regards, Melanie Giles, Insolvency Practitioner for over 20 years.

For further details contact me at http://www.melaniegiles.com and view my IVA blog at: http://melaniegiles.blogs.iva.co.uk