Query about fair deal scheme

[Leftfield]

Hi, I would like to know if there are any exemptions for paying back the loan received from the HSE under the fair deal scheme. In particular if there are any exemptions if the family home used for the fair deal loan is left to someone's son (who lives there and has no other property) to the son paying back the loan.

Cheers

 

[thedaddyman]

The repayment can be deferred under agreement with the HSE but I've never heard of an exemption. The estate cannot be distributed to the beneficiaries until the loan is repaid without prior permission of the HSE. Secondly, Revenue collect the repayment so ultimately you'd be negotiating with the Taxman.

Are there other assets in the estate?

 

[Marsupial]

Hi, I would like to know if there are any exemptions for paying back the loan received from the HSE under the fair deal scheme. In particular if there are any exemptions if the family home used for the fair deal loan is left to someone's son (who lives there and has no other property) to the son paying back the loan.

No there aren't any exemptions. The money was borrowed from the exchequer and it must be repaid to the exchequer.

Deferral is the only possibility:

The nursing home loan needs to be repaid after death. You can only defer (delay) repayment if the loan was secured against the person's main home (principal residence).

To apply for a deferral, you must meet the following conditions:

• The house must be your only residence.
• You must have lived in the house for at least 3 years before the original application for the nursing home loan.
• You must not have an interest in any other property.