Pension Credit and House Abroad

seven-day-weekend

If a British married couple have a house abroad worth about £100k but no other savings or assets, would they be entitled to Pension Credit?

She is 61 (but not entitled to State Pension in her own right) and he is 63.

Thanks.

McKneff

Not sure but i think it would be counted as capital so my answer would be no.

Why not put some figures into entitledto.com and see.

My OH and me are both over retirement age and because of capital we do not qualify either.

Has the lady not worked at all in her life. Could she not 'buy' some credits to enable her to have a small pension until he reaches 65. Obviously then she could claim 60% of his pension.

healy

seven-day-weekend wrote: »

If a British married couple have a house abroad worth about £100k but no other savings or assets, would they be entitled to Pension Credit?

She is 61 (but not entitled to State Pension in her own right) and he is 63.

Thanks.

It would be counted as capital and I do not think you would get Pension Credit.

There is a Pension Credit calculator on the Direct.gov site so you could check there.

Here is the link: http://www.direct.gov.uk/en/Pensionsandretirementplanning/PensionCredit/DG_180167

seven-day-weekend

I too think the house would be treated as capital, but I'm not well up on Pension Credit so thought I'd ask.

She has never worked at all, married at 17, children straight away and not worked.

They would have no money to buy credits.

It's a couple from our village, they are having to return to the UK as their money (which they thought would last until State Pension age), is running out, what with Spain's cost of living getting higher and one thing and another. They are trying to sell their house, but the way the property market is in Spain at the moment, I don't think they have a cat in hell's chance in the near future.

They are returning to the UK, but I have a feeling that (even assuming they pass the Habitual Residency Test), that they will be ineligible for Benefits because of this.

What a terrible situation for a couple their age to be in.

seven-day-weekend

healy wrote: »

It would be counted as capital and I do not think you would get Pension Credit.

There is a Pension Credit calculator on the Direct.gov site so you could check there.

It's not me, thank goodness!

McKneff

there has been bad publicity about houses in Spain on the British media.

About them being grabbed back by the Spanish authorities and being bulldozed into the ground.

Something about not being given the correct information to build houses on some particular sites. Maybe this is why they are not selling so well.

Do they have any family they can move in with in the UK

Edit, if they cant afford to live in Spain, what makes them think they can afford to live here, its a lot worse to manage these days, firms are folding, bankruptcy abounds, 3 day weeks, no jobs to be had.
Let them know before they do anything drastic.

Oldernotwiser

McKneff wrote: »

Edit, if they cant afford to live in Spain, what makes them think they can afford to live here,

Pension credit?

They certainly won't qualify for any benefits in Spain!

wildbri

looks like they will have to look for work and claim jsa, bri

seven-day-weekend

McKneff wrote: »

there has been bad publicity about houses in Spain on the British media.

About them being grabbed back by the Spanish authorities and being bulldozed into the ground.

Something about not being given the correct information to build houses on some particular sites. Maybe this is why they are not selling so well.

Many houses have been built without permission or with permission being granted via corruption, and some of these have been demolished even though the people may have bought in good faith. The couple's house I'm referring to though is perfectly legal. The main reason Brits are not buying Spanish houses is to do with the abysmal exchange rate.

Do they have any family they can move in with in the UK

Their daughter and son-in-law have already moved back and already live with relatives

Edit, if they cant afford to live in Spain, what makes them think they can afford to live here, its a lot worse to manage these days, firms are folding, bankruptcy abounds, 3 day weeks, no jobs to be had.
Let them know before they do anything drastic.

They think they will stand more chance of getting Benefits and/or a job, neither of which they have any hope of getting here in rural Andalucia, (unemployment is 40% for Spaniards, let alone for aging expats who can hardly speak the language) and anyway if you are broke, it is better to be broke in a language and culture you understand. Living in the sun is not a cure-all.


Which is why I am asking about Pension Credit and Capital!!

seven-day-weekend

wildbri wrote: »

looks like they will have to look for work and claim jsa, bri

Yes, looks like their best bet (to look for a job - I don't think they'll get jsa).

I'm so glad that when we moved we
a) knew where our income was coming from (husband's teachers' Pension).
b) kept our UK house
c)kept our NI up to date so that I'm now looking forward to receiving my Pension on February 1st.

Too many Brits come to live here with no income, or only capital (which always runs out), having burned their boats in the UK and then have to go back when they have no money. At the moment houses are difficult to sell or rent so people quite often have to just leave them.Then they can't afford anywhere to live in the UK.

Such a mess.

McKneff

My OH is a bit of a stick in the mud, if i could talk him into living in Spain i would buy their house tomorrow and move out there within days. sigh.............