Support for Mortgage Interest Discussion Area

hayleyjl

Hi, I hope you all find this helpful

This is a really clear explanation of the situation regarding mortgage assistance from income support and answers all questions raised regarding the new rules that came in on 5th Jan http://www.jobcentreplus.gov.uk/JCP/Customers/WorkingAgeBenefits/Dev_016128.xml.html

Be warned though, it will provide the answers but anyone who was in receipt of mortgage assistance before the 5th Jan (including me) is not going to be happy!

katchambers

Hi,
Just enquiring for a close friend of mine who is in a bad way and doesn't have a pc. Can you tell me what the eligibility is on Job seekers allowance income based when you have a partner who works. My friend doesn't work but her partner does, part-time but he doesn't earn very much, for her to get the full job seekers of £60 I think, how much can he earn, or do they both need to be out of work for her to apply for it? If she can claim she can also get help with the mortgage interest (hopefully) but she wasn't eleigible when her husband worked full time, now he earns less I wonder if they are eligible.

Thanks
Kat

Sprintblue

The Partner must NOT work more than 24Hrs in a week .. so to be safe 23.5Hr max.

HOWEVER, if the earn anything it has a large impact on JSA-IB ..

They can earn £10 then everything after comes off JSA in a formula.

NOTE Danger .. if in one week they are deemed to earn MORETHAN the JSA IB .. so benefit is ZERO, this ALSO means no help with the Mortgage ..

As strange as this will seem .. if it is a low income part time job, then leave it.

fazzyuk

I don't suppose these comments will help as feelings are running high in this thread but I'm facing an imminent redundancy and want some advice please.

Firstly, if my savings were too high for SMI, but would very quickly deplete, paying the mortgage and other living expenses. Would I be able to claim at that point. i.e. be it 3 months or 10 months down the line I have used my savings to live, they go below the threshold, can I claim JSA and SMI at that point ? (allowing for the waiting period)

Second question and probably a little more controversial. My mortgage is interest only, the intention was always to save up and pay off in lump sums. It seems I would be better off if I was to pay off some of the capital on my mortgage to bring my savings down, prior to being made redundant and therefore claiming both JSA and SMI earlier than I would have otherwise and getting benefit from my savings i.e. reducing the capital.

Appreciate the above may seem like I am trying to work the system but in someways what's the difference to someone who went on a repayment mortgage and reduced their capital therefore couldn't save. End result is the same with reduced capital and an earlier SMI claim.

Finally anyone know where details of how income affects SMI and JSA can be found?

Appreciate any help.

Sprintblue

Fazzy,

when I was in my 39 week period .. I was told that when I switched to JSA-IB the period on JSA-CB would count... (old rules)

Best thing to do is get rid of any cash ... but be aware you can't go and buy a £16k car .. just be sensible ..

What I don't know, for the NEW rules, if any of the JSA CB period will count towards the SMI waiting period .... you need to phone and ask the call centre .. NOT the JCP office(they won't know) .. Ask a person from the mortgage team to call you. Try and get them to confirm it in a letter(will be difficult, they don't like writing letters)

Type or Mortgage and YOUR interest rate is irrelevant.

They pay 6.08% Direct to your provider ... if that is MORE than your monthly payment, then YOUR provider will take off the capital at their FY end. So YOU could be quids in so to speak.

Don't risk getting ANY income on JSA-IB .. my wife did and we got burnt big time. ( more than happy to explain in a telephone call the gotchas)

legra77

Sounds like a similar situation to me this. My partner works about 20 hours a week self emloyed from home travel agent. She has only made about 3-4k in the last year. I am on cont based JSA at the minute since oct 7th 2008. Don't know where we will stand with getting income based JSA and SMI cos need some mortgage help desperately before we go under. Which number do I ring sprintblue if not the JCP one. Any help appreciated.

Sprintblue

You need to phone the Benefit 'centre' for your area ... This is an 0845 number. Alternatively, there should be phones in the JCP Office that you can use..

deb0020

Sprintblue wrote: »

You need to phone the Benefit 'centre' for your area ... This is an 0845 number. Alternatively, there should be phones in the JCP Office that you can use..

That is right Sprintblue. Many people do not realise that the staff they actually see at the Jobcentre are rarely trained in the specific ins and outs of benefits. To be fair they have enough to do as it is.
ANY benefit advice at all that is required from the Jobcentre should be referred to the appropriate section. In many areas there is a BDC (Benefit Delivery Centre) where they actually 'deliver' the benefits. You can never arrange to see these people but you can speak to them personally on the phone. It may take some perseverance but you can request a call back and it makes a big difference if you can actually speak to the person who is processing your benefit.
It should always be an 0845 number which can be pricey from a mobile but should not be too much from a land line. Also as Sprintblue says there are free phones in the Job Centre where you can phone your local BDC. If it takes a long time to get through then at least you are not paying for the call.


Hope this helps someone

Sprintblue

You sound like a DWP person .. I will restrain from a rant .... and Oh boy could I rant ....

I will, when I have a job 'hang' a few indiviuals that have been incomptent in the extreme .....

I have often thought about sitting outside a JCP office explaining to people depending on their circumstances how they could be 'shafted' by the system.
I am pleased you seem to help ..:T

I aplogise if you are not a DWP person ...

legra77

I'm going to ring up tomorrow as our situation worse than I thought. Looked back over my partners earnings for the last year and she's only made 1800 quid. Is it possible to get JSA(cb) and JSA (IB) at the same time. Also will my time on JSA (cb) be counted if I can get SMI help. And would it be backdated to my 13 week point. Which would have fell on 6th Jan by the way. So many questions I know but the benefit system is all new to me.