Mortgage Interest

BlondieJ1968

Hi, I am new here and wonder if anyone can help me.

Due to severe ill health I have been put back onto Incapacity Benefit from June 2010. I also receive £40 a week Industrial Injury Benefit, which I was awarded in 2007.

I was told twice in June (when I went onto Incapacity) that I didnt qualify for Mortgage Interest being paid. After a couple of weeks I decided to speak to someone else and they said I was! That went through ok, then of course the goverment reduced the interest they would pay, which left me with a shortfall.

Horror of horrors, after my last Industrial Injuries Examination a few weeks ago, Income support have said I am no longer entitled to the Mortgage Interest being paid and I had to pay it my self out of this Industrial Injuries Benefit (which I have always had and always declared)

So now I get £5 week towards my mortgage. This seems so wrong and what is upsetting me is the incorrect advice I have been given before quite a few times.

If anyone could clarify I would be so greatful.

Thanks

dmg24

How much is your outstanding mortgage? How much IB/ IIB do you receive? Are you single?

BlondieJ1968

I hope I am replying in the correct way!

My IB is high rate (£92.00) as this was a linked claim - I did go back to work for a year before becoming very ill again. My IIB is £43 and I am classed as 30% disabled.

I have used the TURN2US benefit checker twice now which says Im not entitled in income support anymore BUT SHOULD qualify for full mortgage interest payment.

God, any adive would be great, Ive had a successful career all my life and never claimed a penny, but now I have to it seems they are giving with one hand and taking with the other.... it is sooo stressful

Thanks OH I am single by the way, with no dependants.

dmg24

How much is your outstanding mortgage amount (the total amount, not the amount you pay each month)?

BlondieJ1968

My mortgage is INTEREST ONLY £54991
and REPAYMENT £21281


Monthly payment £314.03

dmg24

Do you receive DLA?

If you do not receive DLA, your weekly personal allowance is £93.45 + £53(ish!) for mortgage interest = £146.45. You receive £135 in IB/ IIB so you should be eligible for approx £10 SMI (mortgage interest payment). However my calculations are only approximate and you would need to check that the DWP allow the whole amount of your mortgage (they will deduct any product/ arrangement fee, additional borrowing etc).

BlondieJ1968

Hi thanks for your help.

No, DLA refused me after filling in a totally soul destroying 57 pages....

So from your calculations, I dont qualify for mortgage interest?

I thought Incapacity was non means tested.

It certainly seems you know your stuff! If you could explain a little further it would help.

And, why do people get their rent paid, when I worked my !!!! off to get this house and really dont want to lose it

Indie_Kid

BlondieJ1968 wrote: »

I thought Incapacity was non means tested.

It's classed as income for income based benefits.

dmg24

You do qualify, but only for approx £10 per week. I would guess that if they have said you qualify for £5 they have disallowed some of your mortgage, either due to additional borrowing or product/ arrangement fees.

The change in your eligibility will be related to the change in the SMI rate. I imagine it is just a coincidence that you had a review at the same time.

If you received DLA MRC or higher you would qualify for more help. If you feel that you have care needs I would definitely reapply (or appeal if the decision was in the last month).

The difference between LHA/ HB and SMI is a big anomaly, but the govt don't seem to want to fix it.

BlondieJ1968

I guess Im going to have to give up then.

But Im very very upset, you pay in for years and years and just cos I dont rent and made a massive effort to get my home I get penalised.

It seems so unfair. I never expected myself to not to be able to work, never.

Thanks though DMG, at least Ive had some concrete advice, cos the benefit guys dont seem to know what they are doing.

Not what I wanted to hear, but thanks anyway x

TOBRUK

BlondieJ1968 wrote: »

Hi thanks for your help.

No, DLA refused me after filling in a totally soul destroying 57 pages....

So from your calculations, I dont qualify for mortgage interest?

I thought Incapacity was non means tested.

It certainly seems you know your stuff! If you could explain a little further it would help.

And, why do people get their rent paid, when I worked my !!!! off to get this house and really dont want to lose it

Hi BlondieJ1968,

You must have felt you were eligible for DLA if you applied for it and you have care/mobility needs.

Although you were turned down (the reasons they turned you down should be on the award letter) you should have appealed if you think they were wrong to do so.

Many are turned down for DLA but it does not always mean that they aren't eligible - this is why it is important that you appeal. Like dmg24 has said, you should re-apply - unless it was within the last month for which you should appeal their decision.

Don't be frightened of the appeal process ... even if it goes to tribunal, although it isn't the most pleasant of things it isn't as bad as it sounds - I have been to 2 tribunals over the years and won both.

I understand oh so well when you say that you never imagined that you would find yourself in the position you find yourself, where you will never work again! It is a horrible position to find yourself, and is soul destroying when you have always been independant and always worked.

Don't give up.:)

Incapacity benefit is means tested.

If dmg24 says that you qualify for SMI you should make sure you receive it - dmg24 is a reliable contributor to this forum and gives very sound and accurate advice.;)