Creditors cant touch your Benefits

james32_uk

Social Security Administration Act 1992
Miscellaneous
Certain benefit to be inalienable **

187- Subject to the provisions of this Act, every assignment of, or charge on-
(a)benefit as defined in section 122 of the Contributions and Benefits Act;
(b)any income-related benefit; or
(c)child benefit,
and every agreement to assign or charge such benefit shall be void; and, on the bancrupcy of the beneficiary, such benefit shall not pass to any trustee or other person acting on behalf of his creditors.

** inaliable = not to be forfeited.

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Basically they can't take you benefit money for overdrafts or debts, and if they have you can ask for it back !

Discussion on this here http://forums.moneysavingexpert.com/showthread.html?t=269424&page=2

bizzylizzy

james23_uk wrote:

Social Security Administration Act 1992
Miscellaneous
Certain benefit to be inalienable **

187- Subject to the provisions of this Act, every assignment of, or charge on-
(a)benefit as defined in section 122 of the Contributions and Benefits Act;
(b)any income-related benefit; or
(c)child benefit,
and every agreement to assign or charge such benefit shall be void; and, on the bancrupcy of the beneficiary, such benefit shall not pass to any trustee or other person acting on behalf of his creditors.

** inaliable = not to be forfeited.

---

Basically they can't take you benefit money for overdrafts or debts, and if they have you can ask for it back !

Discussion on this here http://forums.moneysavingexpert.com/showthread.html?t=269424&page=2

I didn't know this. Does this apply to DMPs and IVAs as well as bankruptcy do you think?

james32_uk

I dont know. I would guess not as I think the above is referring to involuntary payments rather than the voluntary DMP and IVA that youve agreed to pay.

I know nothing about it to be honest, just saw it elsewhere and thought it might be useful.

sandralovescats

They will not allow benefit payments to be included as income in an IVA or Bankruptcy.

I just attempted an IVA and found this out. I am now going for bankruptcy and the same thing applies.

Even though it is voluntary, they will not include benefit payments, those payments are there for you to live on not to pay debts.