Is a charge on a house counted as capital?

Xirus

:::dmg24::: Thanks, it does mention "Legal Charges" and the fact that it is classed as capital. However in my opinion the example isn't really similar to my circurmstances and I believe that circumstances should be taken into account in a situation like this.

Presumably because you could force the sale of the house or insist on repayments over a period?

This would never be an option for me, in fact if i didn't get the money it would be because my parents could not afford to pay me back. If that happened I certainly would not be like all the money grabbing / narrow minded people that would do such a thing. In my opinion people like that have little to no conscience and should be punished for turfing out familes and children from their happy environments onto the streets. All to make money.

Rant over, hopefully the council will exceed my expections and say that it is ok in my situation, unlikely though after reading the link above

Regards
Xirus

dmg24

Xirus wrote: »

:::dmg24::: Thanks, it does mention "Legal Charges" and the fact that it is classed as capital. However in my opinion the example isn't really similar to my circurmstances and I believe that circumstances should be taken into account in a situation like this.

This would never be an option for me, in fact if i didn't get the money it would be because my parents could not afford to pay me back. If that happened I certainly would not be like all the money grabbing / narrow minded people that would do such a thing. In my opinion people like that have little to no conscience and should be punished for turfing out familes and children from their happy environments onto the streets. All to make money.

Rant over, hopefully the council will exceed my expections and say that it is ok in my situation, unlikely though after reading the link above

Regards
Xirus

Legally it is an option and that is all that matters, your personal feelings do not come into this.

Oldernotwiser

Xirus wrote: »

:::dmg24::: Thanks, it does mention "Legal Charges" and the fact that it is classed as capital. However in my opinion the example isn't really similar to my circurmstances and I believe that circumstances should be taken into account in a situation like this.



This would never be an option for me, in fact if i didn't get the money it would be because my parents could not afford to pay me back. If that happened I certainly would not be like all the money grabbing / narrow minded people that would do such a thing. In my opinion people like that have little to no conscience and should be punished for turfing out familes and children from their happy environments onto the streets. All to make money.

Rant over, hopefully the council will exceed my expections and say that it is ok in my situation, unlikely though after reading the link above

Regards
Xirus

That was a bit unnecessary!

The fact that you would prefer not to do this is laudable but it is an option.

Xirus

dmg24 wrote: »

Legally it is an option and that is all that matters, your personal feelings do not come into this.

That doesn't mean I won't declare it, I will if the council come back and say that I have to. I am not trying to get something out of the system for nothing!

My view is how can you call something capital if you cannot cash it in. My views do not allow me to turf my parents out of their house just to cash in on a legal document just because a government document says I can do it. It is not an option, no matter what any document says! Therefore I shall ignore that part of the document because it is unreasonable.

If you were told to do something that you thought was unreasonable and would hurt or even break your family up just because it was a legal government document, would you do it? Family should always come first, especially over money matters and black and white policies.

Just because the government states something in a policy or legal document it does not mean that it is right and just. They are put in place by people that are mainly trying to save money and make money. In fact they change policies and practises all the time because they either realise they were mistaken or they want to make more money.

Depending on what the council gets back to me with will determine what I surrender. However, I disagree with the fact that it should be classed as "Capital" and I am logically correct.

Regards

dmg24

Xirus wrote: »

That doesn't mean I won't declare it, I will if the council come back and say that I have to. I am not trying to get something out of the system for nothing!

My view is how can you call something capital if you cannot cash it in. My views do not allow me to turf my parents out of their house just to cash in on a legal document just because a government document says I can do it. It is not an option, no matter what any document says! Therefore I shall ignore that part of the document because it is unreasonable.

If you were told to do something that you thought was unreasonable and would hurt or even break your family up just because it was a legal government document, would you do it? Family should always come first, especially over money matters and black and white policies.

Just because the government states something in a policy or legal document it does not mean that it is right and just. They are put in place by people that are mainly trying to save money and make money. In fact they change policies and practises all the time because they either realise they were mistaken or they want to make more money.

Depending on what the council gets back to me with will determine what I surrender. However, I disagree with the fact that it should be classed as "Capital" and I am logically correct.

Regards

What you would do and what you could do are two very different things. The fact is you could enforce the charge if you wished to do so. You are not applying logic, you are applying an emotional viewpoint.

real1314

How old are your parents?

There are some regs which allow a capital asset to be disregarded if occupied by a close relative over 60 (? - might be higher than that) iirc.

Xirus

real1314 wrote: »

How old are your parents?

There are some regs which allow a capital asset to be disregarded if occupied by a close relative over 60 (? - might be higher than that) iirc.

Thank you very much real1314 they are both over 60 and claiming pension credits. I will look into this, very helpful.

I would post the link I found but as I am a new user it will not allow me to

Regards

bryanb

Xirus wrote: »

My view is how can you call something capital if you cannot cash it in.

But you can cash it in. You are simply not willing to do so. Nobody will attempt to force you to cash it, simply count it as capital available to you.

Xirus

bryanb wrote: »

But you can cash it in. You are simply not willing to do so. Nobody will attempt to force you to cash it, simply count it as capital available to you.

You make it sound so simple. You can't just cash in a legal charge. I will get the money if and when they sell the property. If they did sell or were forced to sell then I would only get the money if there was enough to pay me after paying the mortgage company. Therefore it is not guaranteed / available money and should not be counted as capital.

Regards

bryanb

I don't make the rules, I know it's not simple. It's a government department you'll be dealing with. Things are cut and dried to them, it's in the rules - end of.