money and bankrupcy

[waterbabe]

I have given money to my daughter over the last few years to save for my grandchildren when they are older now her husband may go bankrupt will that money go towards his debts if this happens

[themas]

I think mdoo has mis-read your question. You gave the money to your daughter - not her husband.

What will happen if he goes bankrupt will depend on what your daughter did with the money. Bankruptcy is an individual thing, & the Official Receiver cannot normally attack assets not owned by the bankrupt. (There are exceptions, but generally only where the bankrupt has himself given away assets & this is deemed to have been to put them beyond the reach of his creditors.)

So if your daughter put the money into an account noted with the childrens' names, or an account in her own sole name, there should be no problem at all. If it was put into an account in the joint names of her & her husband, or just in his name, then it could be that the Official Receiver will attempt to take it. However, if this happens an objection should be raised & you should provide evidence of the source of the money & the agreed intention that it was for the children. It would help if you have put something in writing to your daughter at the time you started the payments, to confirm what the money was to be used for.