Debt Recovery and Benefits

Dogwithabone_2

I hope I can find a definitive answer so here goes. I have Parkinson's Disease and my income consists of small private pensions and benefits. I also have a wonderful partner who has made an amazing difference to my life. The only income she has is carers allowance for me. The reason I am given benefit is obviously because it costs more to live as a disabled person and my partner is obviously given carers allowance to assist her in looking after me.
So here is the problem. My partner has a large debt incurred before we were together. The debt is owed to a bank in a country without any financial (tax) reciprical agreements but being recovered by CCI Legal in the UK. Whose income can they use for assessment (ability to pay)? How can it be legally or morally acceptable to give me benefits because I am disabled and request my income for assessment. Alongside this how can it be justified to give my partner Carers Allowance and then take it away for this debt.

Ames

Only her income can be taken into account, and as that's only around £50 a week they'll have to accept token payments, I think that's £2 a month. Your income is protected - it's for disability related expenses, and IS is the minimum you need to live on and is set at a rate that's too low for debt repayments. If your partner is namedon your IS claim then even better. Just send a letter saying that your/her income is from state benefits, including income support, and this does not leave enough for debt repayments, therefor you are offering token payments of £2 per month and request a paying in book or details with which to set up a standing order.

DO NOT agree to a direct debit or card payments as they can take however much they want.

I'm not sure about the legalities of it being a foreign debt, someone who does know will probably be along soon.

Just keep repeating to yourselves that they can't have what you don't have, be strong, and come on here for support.

I'm on IS/disability benefits and have debts, so if you want to know more just yell.

DarkConvict

As above, if its her debt only, only her income can be taken into account.

Carer's Allowance is a taxable benefit to help people who look after someone who is disabled. You do not have to be related to, or live with, the person that you care for.

http://www.direct.gov.uk/en/CaringForSomeone/MoneyMatters/CarersAllowance/DG_10012522

The allowance can be assessed as income as it is not as such a benefit like income support, ESA, DLA etc. As such, you take her income minus her outgoings for reasonable living, whatever is left is what you can offer. Be it £1 or £10 a month.

Section 6 - http://www.nationaldebtline.co.uk/england_wales/debt_advice.php , has some good letters to send if they refuse the offer.

DarkConvict

Im sure i posted on this already.

Your partners debt, so they shouldn't assess your income.

As to the carers allowance, it is paid to you, to pay for a carer. As such it is treated as income to your partner like having a job albeit a low paid one as carers allowances does not go far. The allowance is an income which obviously if your partners outgoings exceed the income then they can't give more than £1 a month.

Morally the carers allowance i see it as nothing different to a job, if there was a surplus then you can pay, otherwise you cannot.

[Deleted User]

would suggest OP speaks to someone at CAB

Ames

DC, Carers Allowance is paid directly to the carer, not to the disabled person. There are rules about who can get it, and if the disabled person was in control of paying it out there'd be problems checking up on the rules. Also, the disabled person would then be responsible for tax and things.

I agree with you on the rest though, it is an income and therfore debts should be paid out of it. However, at £53 a week, there's probably not going to be much more than £1 each left for them.