Tax credits may be cut under Tories - The Times

lostinrates

Pobby wrote: »

A good point, mind you we live in different days to when I was a young man. It seems to me that you must have " choices ". One or other partner gets the feeling that they fancy someone else so the tax payer has to fork out. Funnily enough, I understand why some kids today are so messed up.

My guess, Pobby, is that my mother is older than you, and was a single mother with a, in the main, non-financially contributary ex husband when you were probably a very, very young man! She worked. She worked, very bloddy hard too, and she and my sister did... ok. I'm not sure it was the best thing for either my mother or my sister though, but perhaps neither is the option of doing nothing with school age children. I can't believe we find a happy medium so hard to find.

shakerbaby

drc wrote: »

http://www.timesonline.co.uk/tol/news/politics/article6812269.ece

Is this the harbinger of massive changes to the benefits system under whichever government wins the next election?

I wonder how many people are relying on Tax Credits to pay the mortgage. I have certainly heard disturbing stories of people doing this. :eek:

baileysbattlebus

shakerbaby wrote: »

I wonder how many people are relying on Tax Credits to pay the mortgage. I have certainly heard disturbing stories of people doing this. :eek:

I think some lenders would take tax credits into account when applying for a mortgage - I'm not sure about now. The Abbey for one used to.

drc

shakerbaby wrote: »

I wonder how many people are relying on Tax Credits to pay the mortgage. I have certainly heard disturbing stories of people doing this. :eek:

Do you mean they actually put down tax credits as part of their 'income' when they apply for a mortgage? Or do you mean they assume they will always get some help from the state so have taken out ridiculous mortgages on that assumption. It's a bit of a gamble.

lostinrates

drc wrote: »

Do you mean they actually put down tax credits as part of their 'income' when they apply for a mortgage? Or do you mean they assume they will always get some help from the state so have taken out ridiculous mortgages on that assumption. It's a bit of a gamble.

We have been asked about it while being asked about income and investments etc.

marshallka

shakerbaby wrote: »

I wonder how many people are relying on Tax Credits to pay the mortgage. I have certainly heard disturbing stories of people doing this. :eek:

Lots do and also where lending for loans/credit cards is concerned some firms rely on "family allowance" too. I think it could be a good thing in that people are trapped in the working "part time" and some families working part time are better off (when you add up all the rest you can claim when claiming these tax credits) than two people on low incomes working full time and claiming the minimum tax credits amount.

marshallka

baileysbattlebus wrote: »

I think some lenders would take tax credits into account when applying for a mortgage - I'm not sure about now. The Abbey for one used to.

Oh well if they are scrapped then people will no doubt put in claims for misselling of mortgages and get it all back that way. They should not have relied on these benefits in the first place as "income". Mind you they are probably more reliable as income than most jobs these days.:rotfl:

drc

marshallka wrote: »

Oh well if they are scrapped then people will no doubt put in claims for misselling of mortgages and get it all back that way. They should not have relied on these benefits in the first place as "income". Mind you they are probably more reliable as income than most jobs these days.:rotfl:

I recall a post a few months back in one of the other sections in which someone was asking whether they would be able to apply for a mortgage. Their 'income' was solely made up of tax credits and various other benefits but they thought these would be sufficient to get a mortgage :rolleyes:.

shakerbaby

drc wrote: »

Do you mean they actually put down tax credits as part of their 'income' when they apply for a mortgage? Or do you mean they assume they will always get some help from the state so have taken out ridiculous mortgages on that assumption. It's a bit of a gamble.

Yes that is what I meant. Scary aint it. :eek:

marshallka

drc wrote: »

I recall a post a few months back in one of the other sections in which someone was asking whether they would be able to apply for a mortgage. Their 'income' was solely made up of tax credits and various other benefits but they thought these would be sufficient to get a mortgage :rolleyes:.

And I bet they would be able to repay better than most. Sometimes benefits (with the various other things thrown in!!) are worth more than two people on lowish incomes.