Benefits and Inheritance

johnfjones

This is the first time I've posted here and I think this is the correct place to ask this.

Anyway I have a friend who's mother recently died. My friend is set to inherit her deceased mothers property along with her two sisters. The plan is for the property to be sold and any monies to be distributed between the three sisters. My friend also received a settee and a television (neither of which are worth anything).

My friend has claimed benefits for a number of years due to being unemployed and having a disabeld son. Anyway my friends neighbour overheard my friend discussing her affairs on the telephone and how she would probably recieve 30K eventually and reported my friend for benefit fraud.

The benefit fraud officer came out and conducted an interview last week and has forwarded a letter today. They now plan to take matters further since my friend has failed to declare a change of circumstances and has apparently benefitted financially by recieving the settee and television as well the monies from the sold property.

My friend is now beside herself and does not know what else to do. To me this seems rather silly since my understanding of it is this (and I worked at one point for the DWP):

(i) A change of circumstances does not need to be declared until it actually occurs. My friend has not actually inherrited anything yet and it's likely to take some time yet before it is finalised. I agree she should declare the property but not until she actually owns her share (and even then the benefits office cannot force her to sell it).

(ii) The property has not yet been sold and therefore she has not received any monies what so ever and it likely to be months before the property is sold. So in my opinion again she does not need to declare a change of circumstances.

(iii) Lastly the settee and television are very old (more than ten years) and are in my opinion worth nothing and are more sentimental. I'm not sure about this but I also believe she does not even need to declare these as these do not in my opinion cause a change of circumstances which from my understanding is related to money.

I'm in the process of encouraging my friend to find a solicitor because the letter she received today is very official and looks like they are going to try to prosecute her. The letter also stated that all of her benefits have now been suspended and she now has no way of paying her bills, rent, buying food or looking after her son.

Any advice would be greatly appreciated.

Killmark

johnfjones wrote: »

This is the first time I've posted here and I think this is the correct place to ask this.

Anyway I have a friend who's mother recently died. My friend is set to inherit her deceased mothers property along with her two sisters. The plan is for the property to be sold and any monies to be distributed between the three sisters. My friend also received a settee and a television (neither of which are worth anything).

My friend has claimed benefits for a number of years due to being unemployed and having a disabeld son. Anyway my friends neighbour overheard my friend discussing her affairs on the telephone and how she would probably recieve 30K eventually and reported my friend for benefit fraud.

(i) A change of circumstances does not need to be declared until it actually occurs. My friend has not actually inherrited anything yet and it's likely to take some time yet before it is finalised. I agree she should declare the property but not until she actually owns her share (and even then the benefits office cannot force her to sell it).

(ii) The property has not yet been sold and therefore she has not received any monies what so ever and it likely to be months before the property is sold. So in my opinion again she does not need to declare a change of circumstances.

(iii) Lastly the settee and television are very old (more than ten years) and are in my opinion worth nothing and are more sentimental. I'm not sure about this but I also believe she does not even need to declare these as these do not in my opinion cause a change of circumstances which from my understanding is related to money.

Any advice would be greatly appreciated.

Is she the executor of the will?

Has probate been granted?

When you say she hasn't inherited anything yet, do you mean the assets haven't been legally distributed yet?

Or do you mean the property hasn't been sold but she holds and interest in the property?

johnfjones

Killmark wrote: »

Is she the executor of the will?

Has probate been granted?

When you say she hasn't inherited anything yet, do you mean the assets haven't been legally distributed yet?

Or do you mean the property hasn't been sold but she holds and interest in the property?

Thanks for replying so promptly.

It's been hard to get a response out of my friend but basically a solicitor is acting as executor of the will. I'm not entirely sure about the probate but none of the will is being contested. In terms of the assets (which was only the house and its contents) the contents have been distributed (i.e. my friend has the settee and television). The property has not yet been signed over yet and she holds no interest in it what so ever. Technically according to the solicitor the property belongs to the deceased person. I'm not sure how long it takes for things to be signed over but it looks like its going to take a number of weeks before my friend owns her share of the property.

Killmark

johnfjones wrote: »

Thanks for replying so promptly.

It's been hard to get a response out of my friend but basically a solicitor is acting as executor of the will. I'm not entirely sure about the probate but none of the will is being contested. In terms of the assets (which was only the house and its contents) the contents have been distributed (i.e. my friend has the settee and television). The property has not yet been signed over yet and she holds no interest in it what so ever. Technically according to the solicitor the property belongs to the deceased person. I'm not sure how long it takes for things to be signed over but it looks like its going to take a number of weeks before my friend owns her share of the property.

What is probate?

When a person dies somebody has to deal with their estate (money property and possessions left) by collecting in all the money, paying any debts and distributing what is left to those people entitled to it. Probate is the court’s authority; given to a person or persons to administer a deceased person’s estate and the document issued by the Probate Service is called a Grant of Representation. This document is usually required by the asset holders as proof to show the correct person or persons have the Probate Service’s authority to administer a deceased person’s estate.




Probate would be required by the solicitor acting as executor, thus as the assets such as the house have not been distributed or ownership transfered it shouldn't affect her benefits.


Should just require evidence from the executor to this affect and a copy of the grant of representation.

johnfjones

Killmark wrote: »

Probate would be required by the solicitor acting as executor, thus as the assets such as the house have not been distributed or ownership transfered it shouldn't affect her benefits.

Should just require evidence from the executor to this affect and a copy of the grant of representation.

When my friend had her interview at home last week with the fraud officer she said she signed a piece of paper. She assumed it was for proof of her signature but it seems to me it was a statement of sorts and its this that is going to be used against her. I personally feel this one wont go anywhere as no wrong doing has occured. Anyway I'm going to try to get a hold of a copy of the letter she received today.

[Deleted User]

I very much doubt that she can be classed as having received money that hasnt been paid to her yet,and that she wont be until the solicitor releases the funds,as for the tv and settee this is really a red herring,what if she had bought them at a flea market for £1 each should she have been expected to declare that as a change of circumstance...of course not.Perhaps she could have a word with the solicitor handling the will about the actions of the dwp,perhaps a letter from him would shut them up?

Oldernotwiser

johnfjones wrote: »

When my friend had her interview at home last week with the fraud officer she said she signed a piece of paper. She assumed it was for proof of her signature but it seems to me it was a statement of sorts and its this that is going to be used against her. I personally feel this one wont go anywhere as no wrong doing has occured. Anyway I'm going to try to get a hold of a copy of the letter she received today.

Did she sign something without reading it - as part of a fraud investigation?:eek::eek:

Broken_hearted

Oldernotwiser wrote: »

Did she sign something without reading it - as part of a fraud investigation?:eek::eek:

She was probably very scared and confused. Add a bit of pressure from the investigator saying XYZ will happen to you if you don't sign now, poor lass would have probably signed anything.

The stuff about the TV and sofa is bull as there worth is very little.

far2812

I personally cannot see how she has done any wrong. She would however have been in the wrong had she not advised DWP of change of circumstances IF she HAD received her inheritance.

Until the money is in her bank account then her circumstances have not changed!

What benefits is she on?

Nosey people really annoy me - on top of dealing with her mother's demise, she now has to deal with a fraud investigation! If I was her, I would just let it be and see what happens if anything. Personally I don't think it will but it just iterates the fact that she MUST report her change of circumstances when it happens = I'd say they are keeping an eye on her file!

Oldernotwiser

Broken_hearted wrote: »

She was probably very scared and confused. Add a bit of pressure from the investigator saying XYZ will happen to you if you don't sign now, poor lass would have probably signed anything.

You really do have a low view of people's intelligence, don't you?

mgirl_2

I would have thought that there was no change in circumstances until she owns a share of the property (I would think that the house counts as capital). As one of the other posters suggests - perhaps your friend could ask the solicitor acting as executor to write a short letter explaining the situation - it can't hurt and should help.