inheritance whilst claiming housing benefit

tsstss7

cassieB57 wrote: »

This only applies in the event that she tried to claim income related benefits again in the near future, and if her main or significant purpose in spending the money was to claim benefits she was not otherwise entitled to. At 61 she must be near or over pension age so has she not got a state pension? She should be able to live quite well if she invests the money wisely.

True but if she thinks she can live "comfortably" and then gets through it quick she'll have a big shock when she finds out that the dss won't pay any means related benefits until a time they deam reasonable. She might be a frugal individual but to me comfortable means being able to afford stuff like cars and holidays etc and more besides ...I could easily spend a hundred k in a few years without trying too hard. (if I was ever so lucky to have it that is lol)

col608

Thanks for your comments.
I think your right. It seems the best for her would be to get a little job at tescos or something, she would be meeting people etc and invest the £84k. She would still have £16k to update her furniture and car as she wants.
I guess £84k invested wisely and a wage would see her right enough to pay her rent and get by with a decent living.
I will speak to her tomorrow now.
Thanks very much for all your advice

lovetowinacar

col608 wrote: »

My Father unfortunately passed away unexpectedly the week before Xmas last year leaving my Mother widowed at 61. They both worked hard all their lives but never amassed savings or property and were claiming pension credits and housing benefit.
My Mother however, has just received a life insurance policy for my Father that amounts to £100,000 and the benefits agencies have notified her that she is to inform them of any inheritance.
I am aware that any 'savings', in excess of £16,000 will affect housing benefits etc and that as a result, her benefits will now stop and she will be forced to use the money for rent etc, as opposed to being able to use the money as she or my Father would have wished. Inevitably in 5 or 6 years she would undoubtedly therefore be penniless once again.
Is there any way my Mother can hide or lose this money so as to enjoy it after the loss of her husband and still claim housing benefit, instead of using it to struggle by as she has all her life?
What would happen if my Mother supposedly acted upon my Fathers wishes to share the money between the family and divide £30,000 each between myself, my sister and £10,000 to each of the two grand-kids as gifts from my father? We could then set the money in bank accounts for Mum to use as necessary..........??? What if my Mum supposedly gives £84,000 to me as if she owed it to me for something and i put it in an account for her again to use as necessary?

It feels like you are trying to find a way that you can get the money off your mother so that you can benefit from your fathers life assurance policy and she can struggle on benefits.

Its her money, she can now pay her rent and council tax and treat herself to an annual holiday and within reason enjoy the money. Life insurance is exactly for that paying the bills when someone you depend upon dies not for giving to children who should pay their own bills.

I find it awful that you are actually suggesting she should commit benefit fraud to benefit you and other children. Her late husband would be very upset that his wife may consider comitting benefit fraud and could end up in prison rather than using the life insurance of £100,000 to pay her rent, council tax etc and enjoy her life. Dreadful :eek:

Plans_all_plans

Would she sell up and move in with you/your sister? Then she wouldn't need benefits at all.

Mojisola

col608 wrote: »

If she spends the money at a rate that is in excess of her usual spending patterns then this is deprivation of capital and she will be in trouble with the government still. (even purchasing a new car or furniture).

This isn't true. She will be able to spend her money in a reasonable way. If she took a world tour, traveling first class all the way, the DWP would question it. If she had a couple of weeks holiday at a reasonable price, they wouldn't. If she needs to replace furniture, update her bathroom or kitchen or redo the garden, particularly if it's done with increasing age and any mobility problems in mind, she can do that.

It's worth keeping all receipts and possibly taking before and after photos just in case any spending is challenged.

So what is the point of my Dad paying into this life insurance policy in the first place? £70 per month for years in order that my Mum can have money she cant spend.

She can spend it and enjoy living off the money her husband has provided instead of having to ask the taxpayer for money.

tazwhoever

A similar question

If parents have left their house to their 5 children after they pass way and they can not sell the property - condition. House is 2 bedroom, and in city of London worth (eg) £500K. What happens to the children, who are married with their own children?

Not sure, but I think HB would not be paid to the children, who are claiming HB/CTB as the share of the parents’ house is worth £100k?

Do the children with their own children claiming HB/CTB be eligible for this benefit, after inheritance?

Most of us agree the house is too small of 5 children, and some with their own children!

Mojisola

tazwhoever wrote: »

A similar question

If parents have left their house to their 5 children after they pass way and they can not sell the property - condition. House is 2 bedroom, and in city of London worth (eg) £500K. What happens to the children, who are married with their own children?

Not sure, but I think HB would not be paid to the children, who are claiming HB/CTB as the share of the parents’ house is worth £100k?

Do the children with their own children claiming HB/CTB be eligible for this benefit, after inheritance?

Most of us agree the house is too small of 5 children, and some with their own children!

It would depend on how the property was left. If there is a condition about not being able to sell the house, it suggests the house has been protected by a trust. In that case, the children should be able to receive HB. Any income they receive if the property is let out would have to be declared.

scoobadeedo

I have been left 15k of an inheritance & am looking ideas on the best investment I have been told premium bonds are an option Any ideas?

Blitz01

Sorry for your loss............but
Why should the HONEST (look this word up) tax payer, pay your mums benefits when she is sat on £100K?

You are looking for advice on how to defraud.....and quite frankly its disgraceful