would i be ripping offf the state?

missk_ensington

On the Income Support forms it asks you (or did 2-3 years ago) if you've sold a house within the past 3 years (or something like that). I also vaguely remember there being a table where you had to tick Yes or No, and it was like Do you have..... -War pension -Saving over £6,000 -Stocks and shares -Premium Bonds.

I am assuming that the reason for this box is because they are all regarded as capital.

Even if you put the money in a pension, I expect this is still Dissipation of Assets, which is fraud and carries tough penalties.

Why are you selling your house? Nobody in their right mond would sell a property they own to go and rent, unless it was absolutely unavoidable! Thats bad money sense!

Turning_into_scrooge

I have been on IS since 2002 and have never had to sign a new form yearly to confirm my status has not changed.

elaine373

Yes you have to declare it. I can see your point but thats exactly what I/S and other benefits are for.We could all see things from this point of view but in the end there has to be a system or the state would fall apart.

Maisie

mymoney69 wrote:

can anyone please tell me if i was to put £30,000 into premium bonds do i have to declare this.I am currently claiming income support,mortgage interest and coucil tax benefit,but i am just about to sell my flat and this is how much equity i will have.
Dont get me wrong i am not trying to rip off the state but at the same time i dont want to have to live off this money as it will soon go.I am desperately looking for work and am aware that then i could claim wtc.Is there any way round me not having to live off my savings without getting in to deep water with the social security. i am a single parent and probably wont have this sort of money ever again. Any suggestions please?

I can't give you advice mymoney69 but remember it is the people not on benefits that pay their tax etc (and contribute to those on benefits) who might be ripped off not just the state.

Voyager2002

If you don't want to be forced to live off the 30 grand until it is gone, then don't sell your flat. Just about the only way you can have that much capital without it affecting your benefits is by having it as equity in the place where you live.

Incidentally, deprivation of capital is not a crime, but it does mean that you are disqualified from benefits -- NOT a good idea.

SMC_2

Turning_into_scrooge wrote:

I have been on IS since 2002 and have never had to sign a new form yearly to confirm my status has not changed.

I have had them but not every year.

giggs11

looks like she's alredy sold the flat according to this thread http://forums.moneysavingexpert.com/showthread.html?p=2585824#post2585824

raymond

Ripping off the state ????

You would be ripping off me and every other hard working decent person paying their taxes to support spongers with £30k in the bank that dont want to spend it or get a job !!

seven-day-weekend

raymond wrote:

Ripping off the state ????

You would be ripping off me and every other hard working decent person paying their taxes to support spongers with £30k in the bank that dont want to spend it or get a job !!

Frpm the link quoted above, it looks as though she is resigned to losing the income support. So she will not be ripping anyone off.

spacedmonkey

Just thought i'd add a note. Whilst a pension is always a great idea please ignore the advice about putting it in a pension. True pension funds are not counted as capital BUT, you are only allowed to invest a certain amount in pensions before the Housing Benefit/Income Support people start taking that as cash you have in your hand. Put £30K in a pension fund whilst depending on state benefit they will decide you still have the lot, you invested the money as choice when you could have used it to live. Your benefit will be assessed on the basis that you still have it, so you'll get no benefit and your money will be tied in pension funds. Even worse you could be prosecuted for fraud as you choose to invest £30K in your pension whilst living off state handouts, its called deprivation of capital and its a criminal offence to dispose of available capital in order to claim benefits. I think they allow you to invest 6% of income in a pension before they count the money, not sure how this works with capital. Seeing as you are claiming mortgage interest you would have to tell the jobcentre if you sold your houe (or they would find out quickly). If you don't want to live off you saving then you have to claim housing benefit. They will want to know what has happened to your house and any equity, they will refuse to pay up until you have provided proof (and won't paid up if you've tried to cheat).

Actually pretty much anything you try and do to get rid of it so to speak will result in your benefit being stopped.

If you don't want them to get it then don't sell until you can support yourself.