DLA and Debt Managment Plan

SeaThreePeeO

I posted this question on the Benefits Boards and they suggested I post it here as someone may know more.

I am currently on a DMP with the CCCS and our SOA has come up for renewal. Last year I was told that my daughters DLA payments would be on the plan but not taken into consideration as it was a benefit paid for a specific need, the care of my disabled daughter.

However yesterday when I phoned to renew I was told that the rules had changed and the most I would be allowed to claim out of any DLA payment for my daughter personal care and mobility needs would be £100 (and that was being generous) and any left over would go towards paying my creditors.

I contatced the DWP and DLA and they told me that the benefit was paid to my daughter, but paid into my bank account as a trustee as they don't consider my daughter able to take care of her own financies.

Could any one tell me who is right?

Thank in advance for any advice given

Tixy

I know this doesn't answer your question but I believe that payplan does treat this type of benefit as being excluded from your income when assessing your DMP repayments.
I appreciate it would be a hassle to switch to them but thought it might be worth mentioning.

Have you been back to CCCS to discuss since you spoke to DWP? If not maybe try that and explain that it is not your income in their eyes. What do you spend this on? presumably you don't include those costs on the expense side on your budget either?

If they insist on putting it in as income then you'll presumably need to up certain costs for whatever it is spent on, so would end up in the same net position.

Billy_two_speakers

SeaThreePeeO wrote: »

I posted this question on the Benefits Boards and they suggested I post it here as someone may know more.

I am currently on a DMP with the CCCS and our SOA has come up for renewal. Last year I was told that my daughters DLA payments would be on the plan but not taken into consideration as it was a benefit paid for a specific need, the care of my disabled daughter.

However yesterday when I phoned to renew I was told that the rules had changed and the most I would be allowed to claim out of any DLA payment for my daughter personal care and mobility needs would be £100 (and that was being generous) and any left over would go towards paying my creditors.

I contatced the DWP and DLA and they told me that the benefit was paid to my daughter, but paid into my bank account as a trustee as they don't consider my daughter able to take care of her own financies.

Could any one tell me who is right?

Thank in advance for any advice given

How old is your daughter ? if she is 16 or older it should be not looked at all and should anyway only be spent on things for her

The DLA help line will be able to advise you on this matter are you her appointee ? (if she is over 16) if she is and you have used HER dla for bills this is wrong (look at the 7 pages of info given when made appointee if you are)

Jinx

I dont know anything about DLA however, personally I wouldnt count that as part of available monies for creditors. I wouldnt say the money is yours at all. A trustee cannot just allocate funds for themselves can they??

Obviously CCCS have their rules to abide by. Personally I think since you have been on a DMP for a while
and knowing how it works you could do your own DMP and not include this income. If any creditors 'heard' about this money (and I dont see how they could) then I would argue it does not belong to you so therefore does not appear on your SOA. I guess their only recourse after that would be to take you to court and let a judge decide.... In my 6 years of doing my own DMP I have been upfront with my creditors and given them a percentage of my available cash, I have lots of defaults but no court appearances. Creditors want regular payments and they dont care if they come from you or CCCS.

SeaThreePeeO

Thank you Billy Two Speakers for your reply.

Thank you Jinx. Myself and my husband have been thinking of coming off the CCCs for a while now as my husbands new job (after being made redundant last year) pays on the 26th were as the old job paid on the 1st. So we may as well pay the creditors directly on the 26th instead of attempting to hold on to the DMP money until the 1st

Jinx

SeaThreePeeO wrote: »

Myself and my husband have been thinking of coming off the CCCs for a while now as my husbands new job (after being made redundant last year) pays on the 26th were as the old job paid on the 1st. So we may as well pay the creditors directly on the 26th instead of attempting to hold on to the DMP money until the 1st

There are lots of us doing our own DMPs for if you need any help and support or just to rant LOL. FYI - I use recurring online payments for my creditors. It makes life soooo easy, you cant forget once its set up and you can amend it up or down as circumstances change

Glad to hear your hubby got a new job, my husband was made redundant this year too, its a difficult life sometimes! Happily like your hubby hes now in a new job. :D:D

mummytofour

Just dont include it. I include the DLA from one of my children my the other award which was granted a long time after I have kept quiet about. To be honest I dont think I should have included either, the money is for the CHILDREN and things that make their life easier not to pay off debts.

Billy_two_speakers

I have sent another detailed PM now I know your daughters age explaining why they can and do ask.... at this age ask and how to get around it

HappyMJ

How strange to include it as part of an SOA and only allow you to spend £100 of it. I wouldn't include it or the associated expenses that it is spent on that amount would be on your daughters SOA not yours.

SeaThreePeeO

Thank you Billy and Happy for your replies

Billy thank you so much for the information you send me.

What has me confused is why discount it one year and then include it the next?

Surely if the CCCS were going to include or discount somthing from your SOA, then it should be consistant throughout the time of the DMP.

I'm sure my creditors would be confused why last year we didn't have 'access' to this money but this year we suddenly do.

We're now doing our own DMP and our creditors have happily accepted our new SOA with the DLA discounted as being for my daughter's needs (as it was originally)

Billy_two_speakers

SeaThreePeeO wrote: »

Thank you Billy and Happy for your replies

Billy thank you so much for the information you send me.

What has me confused is why discount it one year and then include it the next?

Surely if the CCCS were going to include or discount somthing from your SOA, then it should be consistant throughout the time of the DMP.

I'm sure my creditors would be confused why last year we didn't have 'access' to this money but this year we suddenly do.

We're now doing our own DMP and our creditors have happily accepted our new SOA with the DLA discounted as being for my daughter's needs (as it was originally)

they discount one year then not the next because they are now trying it on or the person last year doing the review looked at things not the same

creditors will not be confused as they will expect and hope some people will have more money as some bills are paid off and things change to pay more, mind you with the changes to mortgage interest many will have much less to pay bills with