Bankruptcy and DLA.

Sammy3008

Ok, we are seriously thinking of going down the Bankruptcy route, but going to get financial advice first, but before we get to this stage, just wondered if anyone can answer us this question.

Our son has just been accepted to get Disability Living Allowance at the higher rate. If we were to go Bankrupt, and have to pay into an IPA, would our son's disability money, be taken into account?

Sam.

minimad1970

Hi, My son receives DLA and it wasn't included and neither was my carer's allowance. Unless things have changed since august '08 it should be ok.

miss_spooky

Hi sammy3008,

I've looked into this as my son receives DLA middle care. I haven't included it, though if push comes to shove then I will increase some of the things on my SAO to include what we do for him.

minimad1970 - Your comment about Carer's is interesting as I receive CA and was told that it counts as income, so I have included it.

fatbelly

Sammy3008 wrote: »

Our son has just been accepted to get Disability Living Allowance at the higher rate. If we were to go Bankrupt, and have to pay into an IPA, would our son's disability money, be taken into account?

Sam.

No - it's his money not yours. It's paid for a care or mobility need.

Sammy3008

fatbelly wrote: »

No - it's his money not yours. It's paid for a care or mobility need.

I thought this was the case, but just wanted to clarify first. I've just been onto the CCCS website, to fill in our debt details, and it asked about DLA, and took it in to consideration at the end, which obviously brought our total income higher than what it really is, but saying that, the file I got through email, recommended Bankruptcy as our option.

Thanks Fatbelly

skylight

The CCCS want to know as they look at lots of debt management possibilities.

Do not list it on your SOA for your BR forms. Its not your money. Tell your OR about it during the interview as in "I get £X in DLA for my son, but as its obviously his money and not my income I did not include it". State it as fact and not a question.

Swampmonster

Thanks for asking this question. Thinking of going BR but desperatley concerned about my daughters DLA as that money is needed for her care needs. X

fatou256

my Or told me not to put my DLA on my SoA as it is not class as income however they just want to know what benefit you have in the other hand.

Sammy3008

Ok, I have just spoken to the CCCS on the online chat, this is what she said about us getting the DLA and filing for Bankruptcy:
It would still need to be included while you are his main carer and unable to work for that reason.

Surely there not going to take into consideration our son's money :eek:
Does anyone know who I can ring to clarify this?

Obviously I added the DLA to our budget on CCCS website, so now there taking into consideration my husbands money and our son's money!

skylight

What benefits do you get in total?? Carers allowance?? Income Support?? Do either you or your OH work???? Where does your income come from and who is going BR??

The CCCS is wrong. In BR yours sons DLA is not taken into consideration. However, it could be considered if you did another debt thing through CCCS; such as a DMP or an IVA.

Sammy3008

skylight wrote: »

What benefits do you get in total?? Carers allowance?? Income Support?? Do either you or your OH work???? Where does your income come from and who is going BR??

The CCCS is wrong. In BR yours sons DLA is not taken into consideration. However, it could be considered if you did another debt thing through CCCS; such as a DMP or an IVA.

Hi Skylight.

Regards the DLA for our son, he gets Personal Care Allowance and Mobility money.
My OH is the one that works, and he'd be the one going BR. I am the one who receives the DLA, but this woman on CCCS has said because this DLA is classed as my income it will be included, what the heck!?

I am on a DMP, with my OH, but that was just because of an Overdraft we had on a joint account.

P.s, we get Child Tax Credits and Child Benefit