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How is a financial gift treated on divorce?

(4 Posts)
spaghettionly Sat 09-May-15 12:17:21

Hi I have NC for this.

My marriage is pretty shaky atm and although I'm not quite ready to call time on it I am mentally preparing myself for a likely separation and divorce.

DM wants to gift me a substantial sum of money, which would really help my situation, but I want to know how this would be treated on a potential divorce. She would be gutted if it just got halved as would I. The marriage is 10yrs + with DC so likely to go 50/50 otherwise I think.

Could a gifted sum be protected?

Would it change the picture if the gifted sum had been spent on repairs to the matrimonial home? This is likely to happen as the house is in a godawful state and likely to be unsaleable as is. Think not water-tight.

TIA

LotusLight Sat 09-May-15 13:09:19

Never mind halved - my ex got 60% of our assets (I earn more). Don't assume it will be 50/50. Your mother needs to keep her money until not only is your divorce over but you have a full and final court sealed financial consent order. You can make loans of course with a written loan agreement but I think if you might be breaking up you'd better off ensuring she gives nothing for now.

I ensured some help to a child (adult) is under a written loan. My other older child's parents in law quite rightly ensured their help to their son and her is a clear written loan (with interest and repayments).

If you divorce will you have to sell the house? If so may be better just to sell at the time however bad it's state even at auction. Money may well be very very tight indeed. you might need your mother's money for food never mind redecoration of the house or you might need it to pay solicitor bills. I would not be spending spare money on the house until you know what your situation is likely to be.

babybarrister Sun 10-May-15 19:43:08

I agree - gift will not be ring fenced.

Could instead be a loan BUT in which case your H will also need to sign the loan agreement or he will not necessarily be liable for loan as well which if it is spent on the house - which will then go up in value - you will want taken into account.

spaghettionly Mon 11-May-15 21:17:11

Thanks. I'll tell DM to save it for when I will really need it sad
I do earn a bit more than H but hadn't considered the possibility of him getting more than 50%, that is sobering. One of the big problems between us is the amount of money he keeps spunking on his hobby, while we are left with a leaky roof. God I need to get rid of him.

The house would have to be sold though, which tbh is probably the only thing holding me back right now. It might be in a right old state but I love it, the kids love it, and it breaks my heart to think of us leaving it.

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