inheritance................do we blow the lot

GotToChange

Could I just ask (in a totally un-inflammatory way, I promise) quite how the DWP would get to know about the OP's inheritance?

All best wishes to you OP.


I know what I would advocate.

SomeBozo

GotToChange wrote: »

Could I just ask (in a totally un-inflammatory way, I promise) quite how the DWP would get to know about the OP's inheritance?

All best wishes to you OP.


I know what I would advocate.

They do checks.

Plus someone will get jealous and report them when they see them with a new car, a tan etc.

I just don't understand the "shall I blow it to continue on benefits" line.

The OP states that their current level of entitlement allows them to "pay the bills", yet presumably, not enough for the cruise etc.

So the reaction is to "blow" it and get back to their level of income?

Why?

This money could make your life easier (or your wifes in her final stages of life). You could do the holiday thing, or a car to make it easier to get around.

But why would you want to blow it in a short space of time to get back to where you are now?

The final years/months etc could be at a high standard without blowing it and without running the risk of the DWP getting involved and making the final times hard due to investigations and loosing the safety net you have.

And what happens if down the road you or your wife need some money that is unforseen? Treatment? Visit a realtive aborad?

I just don't get it, but good luck, sympathies with your wife and good luck with the money.

Bozo

Pee

If it's an inheritance, could you ask for an interim payment of less than £6,000? (Or that would not put your assets over £6,000) If the executor is a solicitor, don't tell them why, they will probably guess but that doesn't matter - ask for something like £4,000 and say it's for a holiday of a lifetime. You can then deal with the rest of the money later.

SomeBozo

Pee wrote: »

If it's an inheritance, could you ask for an interim payment of less than £6,000? (Or that would not put your assets over £6,000) If the executor is a solicitor, don't tell them why, they will probably guess but that doesn't matter - ask for something like £4,000 and say it's for a holiday of a lifetime. You can then deal with the rest of the money later.

Any solicitor would be able help with a trust for the money and get you some financial advice.

However they would not be able to help you take the money in "installments" (outside of a trust) for the sole purpose of defrauding the DWP.

I know the OP has not suggested this, but it would make the final time of the OPs wife very hard should it all come crashing down.

I just don't get it sometimes.

Bozo

GotToChange

I think the shame of it is that in order to splash out a little in her last few months, hoops have to be jumped through (and I would still like to know exactly how and what checks could be done so reveal an undeclared, non-taxable inheritance to a different bank account....?)....

And I doubt really that the plan would be to return to present circumstances having blown it all.

This comes from the person who spent divorce settlement on a horse-box, Dolphin-watching trip and cosmetic surgery and is now skint so what do I know.......

Whiteknight

multii wrote: »

We have been told that the inheritance would be sufficent to invalidate the pension credit that we recieve,and which was enough for us to live on and keep the bills paid.

Can anyone tell me what the Dwp reaction would be if we were to literally blow the lot..... cruise, new car, las vegas, gifts to relatives and family,etc in a short space of time, and then claim pension credit again,

I would normally never have contemplated doing this but my wife only has a few months left so "what the hell".
Thanks...................Mike

Basically you could spend the inheritance on whatever you wanted but the Dwp would need to know how the money was spent and would expect evidence to show how the money has been spent. A decision maker would then need to consider if you have deprived yourself in order to claim benefits, as you are already getting Pension Credit you are aware of the rules regarding capital so ultimately they would need to use the information given to them to make their decision.

You mention that your wife only has a few months left have you checked to see if you would still be entitled to Pension Credit as a single person - if your not then then the money is not going to make much of a difference.

The savings capital increases to £10,000 at the start of November.

Katykat

Macro, I know this is a delicate issue which a lot of people do not like to do, but There are some things you are definately allowed to spend your money on. You can pre pay funerals for both of you. I realise this would be difficult for you to discuss with your wife, but it is not classed as deprivation of income. You could set up trust funds for your children/ grandchildren rather than "giving the money away to them". You would be allowed holidays & I dont see why Las Vegas should be classed as "blowing your money" as long as you didn't literally sit at a poker table & hand over wads of cash. You would be allowed to do home improvements which could include renewing old boiler/windows/roof/ etc.
You just have to plan it wisely. I'm not suggesting you should screw the system, but you can be sure that the system will screw you one day, so please, enjoy your windfall, I'm sorry for your situation.

alwaysonthego_2

Katykat wrote: »

I agree with what Macro has said Macro, I know this is a delicate issue which a lot of people do not like to do, but There are some things you are definately allowed to spend your money on. You can pre pay funerals for both of you. I realise this would be difficult for you to discuss with your wife, but it is not classed as deprivation of income. You could set up trust funds for your children/ grandchildren rather than "giving the money away to them" deprivation of capital, if someone sets a trust fund up or gives it away they will be treated as having notional income. You would be allowed holidays & I dont see why Las Vegas should be classed as "blowing your money" as long as you didn't literally sit at a poker table & hand over wads of cash. You would be allowed to do home improvements which could include renewing old boiler/windows/roof/ etc.
You just have to plan it wisely. I'm not suggesting you should screw the system, but you can be sure that the system will screw you one day , so please, enjoy your windfall, I'm sorry for your situation.

Thanked you by accident!

To the op take no notice of this advice, instead you need to consult PC and explain your situation. This is best done via recorded delivery letter. It is up to the DM to decide whether it is classed as deprivation of capital, but the rules are not clear.

bunny999

Katykat wrote: »

Macro, I know this is a delicate issue which a lot of people do not like to do, but There are some things you are definately allowed to spend your money on. You can pre pay funerals for both of you. I realise this would be difficult for you to discuss with your wife, but it is not classed as deprivation of income. You could set up trust funds for your children/ grandchildren rather than "giving the money away to them". You would be allowed holidays & I dont see why Las Vegas should be classed as "blowing your money" as long as you didn't literally sit at a poker table & hand over wads of cash. You would be allowed to do home improvements which could include renewing old boiler/windows/roof/ etc.
You just have to plan it wisely. I'm not suggesting you should screw the system, but you can be sure that the system will screw you one day, so please, enjoy your windfall, I'm sorry for your situation.

oh yes you are

cattie

GotToChange wrote: »

Could I just ask (in a totally un-inflammatory way, I promise) quite how the DWP would get to know about the OP's inheritance?

All best wishes to you OP.
I know what I would advocate.

DWP share data with tax office so as tax is due on savings, they know straight away that a claimant has money. Any large sums get flagged up on their computer systems, which DWP will investigate. There are also spot checks done on wills filed for probate to see if any benefit claimants are named as beneficiaries.

DWP have the power to investigate bank accounts/savings without a claimants permission & will do so if they suspect fraud or deprivation of capital cases. Usually when a person is called for interview under caution with dwp, they have already carried out an investigation & have all the evidence they need to show that the claimant wasn't entitled to means tested benefits.

Prosecution can occur when it can be shown that the intent was to retain a right to means tested benefits by disposing of savings or the claimant will be expected to repay all the overpayment of benefit & generally a fine on top of this amount.