Incapacity Benefit - Getting element of Income Support

jenny81

qwertyuiop12345 wrote: »

Hi, It sounds like you are in a similar situation to me. I own my flat (with mortgage and family assistance) and receive IB and the higher rates of both DLA components. I'm pretty sure I'm not elligible for anything else (eg. free prescriptions or mortgage interest payments).

I think it would be possible for you to get a mortgage if you have a large deposit and a guarantor. However, getting a mortgage and receiving any means tested benefits would seem to me to be contradictory as for the first you would need to persuade the banks that you are financially stable and for the second that you are not, if you see what I mean.

Yes it does seem we're in a similar situation, or will be shortly. I think you would be entitled to help with your mortgage interest. Around 3.5% from October. You just need to be receiving some payment of IS, it's just a case of trying to get it in some way.

Yes I understand what you are saying. Don't really want to delve into the finer details of deposits etc. I am able to get a mortgage, but before I purchase a property need to know that I will be able to get some form of IS and get the mortgage interest help afterwards. Otherwise I will have to continue renting and this isn't ideal as already mentioned.

GlasweJen

Income Support is only payable to people who have less than 16K in savings and is tapered down if you have more than 6K in savings.

Even if you did manage to claim IS if you then put a hefty deposit on a house (which you're going to need if you're mortgage repayments will be less than £400 a month) they will want to know where that money came from. A "gift" of a few 10s of thousands magically appearing when you decide you want a house will be seen as suspect and you would probably get done for benefit fraud. Certainly wont get help with mortgage interest in those circumstances.

jenny81

GlasweJen wrote: »

Income Support is only payable to people who have less than 16K in savings and is tapered down if you have more than 6K in savings.

Even if you did manage to claim IS if you then put a hefty deposit on a house (which you're going to need if you're mortgage repayments will be less than £400 a month) they will want to know where that money came from. A "gift" of a few 10s of thousands magically appearing when you decide you want a house will be seen as suspect and you would probably get done for benefit fraud. Certainly wont get help with mortgage interest in those circumstances.

I don't have above £6k in savings, so am well within the limits. With bank statements etc to prove I haven't hidden away any money that will be used for a deposit. The money for a deposit will come from a legitamate source and won't be deemed benefit fraud. I already know this, it's just the IS problem.

qwertyuiop12345

GlasweJen wrote: »

Even if you did manage to claim IS if you then put a hefty deposit on a house (which you're going to need if you're mortgage repayments will be less than £400 a month) they will want to know where that money came from. A "gift" of a few 10s of thousands magically appearing when you decide you want a house will be seen as suspect and you would probably get done for benefit fraud. Certainly wont get help with mortgage interest in those circumstances.

This is why I have never tried to apply for any income based benefits. (Even if there was a way of doing so, I'm not sure whether it would be morally appropriate when my family is in a position to be able to help me instead of the state.)

Jenny - you quite understandably don't want to give all the details of your financial situation on a public messageboard, but because of this I doubt anyone here is going to be able to give you specific advice. It sounds like there are unique aspects to your situation, so advice in person would be more appropriate either from a welfare rights source, a specialist at a CAB or something similar.

millym

qwertyuiop12345 wrote: »

This is why I have never tried to apply for any income based benefits. (Even if there was a way of doing so, I'm not sure whether it would be morally appropriate when my family is in a position to be able to help me instead of the state.)

Jenny - you quite understandably don't want to give all the details of your financial situation on a public messageboard, but because of this I doubt anyone here is going to be able to give you specific advice. It sounds like there are unique aspects to your situation, so advice in person would be more appropriate either from a welfare rights source, a specialist at a CAB or something similar.

I disagree. Everyone who claims means tested benefits like IS etc has pretty much the same financial situation (ie, no money), so I for one would be very interested to know how you can get a mortgage and put up a deposit whilst claiming them.

I just hope it's not one of these cons that you read about on here so often.

DX2

jenny81 wrote: »

I don't want to sound like I'm doing this to try and get a free house out of it.
Just need to find a way of receiving some form of IS.

Hate to inform you but that is exactly how it sounds! You are trying to manipulate the system simple as.

NASA_2

jenny81 wrote: »

i don't want to sound like i'm doing this to try and get a free house out of it.

Just need to find a way of receiving some form of is.

7, 8, 9, 10........

jenny81

millym wrote: »

I disagree. Everyone who claims means tested benefits like IS etc has pretty much the same financial situation (ie, no money), so I for one would be very interested to know how you can get a mortgage and put up a deposit whilst claiming them.

I just hope it's not one of these cons that you read about on here so often.

I don't have any money and I'm not trying to con anything. There is at least one mortgage company that will provide a mortgage to people on benefits. You will need to talk to a Mortgage / Financial Advisor like I have to see if they will lend the money in your own circumstances.

Please can we get away from where the deposit money is coming from. As previously mentioned this is fully above board and in no way fraudulent, dodgy, or any other way people would like to view it. My reasons for doing it are to aid in getting off benefits sooner.

Would you prefer I sat back continued claiming Housing Benefit etc in an area so I couldn't continue treatment (It would be fairly easy in my situation to be able to claim IB for life if I chose), have kids and get the various other benefits and levels (of) this entitles you to.

Or try and install some independance/stability in my life (as mentioned I have had to move from rented properties and it isn't easy finding another in the location I need to be to access all the treatment I need), return to work coming out the benefit system and then starting a family. But to do this will need to claim say 5 years or so SMI help, remember the rate goes down in October to around 3.5% and mortgage will be 5%.

The SMI will actually be slightly less than what I claim in HB. So I will be worse off. Hopefully you can see that I'm not trying to manipulate the system, or if I am it's to the significant benefit of the system. Sure somebody can do the sums and see the difference. As already stated I'm in a fairly unique situation and just need some guidence/help.

7,8,9,10.... (What does this mean?)

Indie_Kid

jenny81 wrote: »

I don't have any money and I'm not trying to con anything. There is at least one mortgage company that will provide a mortgage to people on benefits. You will need to talk to a Mortgage / Financial Advisor like I have to see if they will lend the money in your own circumstances.

Who? A few people have asked and you've not told us.

millym

Sorry Jenny, I didn't mean that I thought that you were the one doing the conning, but rather, expressing concern that you might be being conned by some dodgy company.

You hear of people elsewhere on this forum who are promised all sorts by companies, pay over a sum of money, and suddenly the company become uncontactable. I'm worried that some shady outfit is saying they will pay your deposit, sort your mortgage etc, for a 'fee'.

If you give folks on here the name of the company that's giving you a mortgage, they can check them out, and if they are legit, surely it would be of great benefit to other people in a similar situation to yours?

The only scheme I know of is HOLD (LIFT in Scotland) who offer shared ownership for people on certain benefits. No idea if it's any good though. Would love to hear from anyone who has used it though.