Housing Costs

OhYeah

I recently lost my job and am claiming IS. I have a mortgage which the JCP are considering. They have writtent to me about a loan I have secured on the property. It is a joint loan (as is the mortgage) they have asked me for a breakdown on what it was for. My now ex husband deserted me and the children some years ago and I have been paying mortgage and loan by myself. The loan money my ex had and although I know some of what it was spent on I cannot account for the majority of it. I have no idea where ex is so unable to approach him, also he was violent to me so wouldn't want to try and find him to ask about the money. I have explained this to JCP but they are determined to get me to say exactly what the money was spent on and how much on each spend. Where do I stand with this as I'm worried that they will not consider paying for any of it.

dmg24

They will only pay the interest on additional lending which was used for essential maintenance/ repairs on the property. From what you have said, it sounds like this was not the case?

OhYeah

I can account for some of it but ex used it for what ever he wanted. I can account for about 6k of 25k. Will they pay a proportion then?

karenx

Depends what the 6k was spent on? If it was for repairs etc then they might pay for it. If it was holiday, paying off debts etc then they wont! And wont taken into account the other 19k

OhYeah

karenx wrote: »

Depends what the 6k was spent on? If it was for repairs etc then they might pay for it. If it was holiday, paying off debts etc then they wont! And wont taken into account the other 19k

It was used to install a radiator in part of the house that didn't have one, relocate kitchen door, work on both shower cubicles, replace garden fence. The rest I have no idea what he did with it.

Benefits_Bod

OhYeah wrote: »

It was used to install a radiator in part of the house that didn't have one, relocate kitchen door, work on both shower cubicles, replace garden fence. The rest I have no idea what he did with it.

It's *possible* the DWP are considering whether the disposal of capital was "deprivation". If money was spent with a "significant operative purpose" of obtaining or increasing benefit, the DWP will treat the OP as still holding that capital ("notional capital").

However, if the loan was taken out some time ago, it's difficult to see how the purpose of expenditure was in order to obtain benefit. BUT, the law is weird on this. If the DWP can show, in the first instance, that a claimant has held capital, the onus then switches to the claimant to show what has happened to it.

My advice? Provide all the info you have with as full and detailed explanation as possible. If you don't know, simply say so - making it up will potentially damage credibility if the matter ends up at appeal.

OhYeah

Benefits_Bod wrote: »

It's *possible* the DWP are considering whether the disposal of capital was "deprivation". If money was spent with a "significant operative purpose" of obtaining or increasing benefit, the DWP will treat the OP as still holding that capital ("notional capital").

However, if the loan was taken out some time ago, it's difficult to see how the purpose of expenditure was in order to obtain benefit. BUT, the law is weird on this. If the DWP can show, in the first instance, that a claimant has held capital, the onus then switches to the claimant to show what has happened to it.
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Thanks. I can account for part of it. The major part of it I have no chance of showing what he did with it. The secured loan was taken out 6 years ago. I have been paying it since, along with the mortgage, as we separated soon after.