Inheritance + CT/HB Pension Credit

davefrombristol

But no one saw fit to mention "diminishing capital" and lets face it if youve worked for 45 years and come into a bit of money - a holiday cruise ( say £2000 as I probably quoted a bit high when mentioning £5,000 ) is what most of us would consider.

My parents worked all their lives and went on a cruise when they were 70.

rachyroundbum

skintandscared wrote: »

This is what you initially said. Where did you say your father would no longer claim benefits? If your father doesn't claim benefits he's under no obligation to declare this money to anybody and can spend it on what he likes. The only issue would be if he spent a huge proportion of it very quickly and then re-applied for benefits. If they wanted to look at his recent spending they may decide that he'd purposefully disposed of the income so he could re-apply for benefits. There may be a period during which he's expected to live off this money although I don't know how long it would be - probably dependant on how much he inherits.

By the way, just so you know, I've never claimed a penny in any sort of benefit and have worked since I left college at 17. My partner has a debilitating condition and has had several years when he couldn't work but we didn't claim anything and I had to try and support us both, which is where the debt came from. Unlike your father, I didn't go bankrupt and instead have chosen to do a DMP which means I pay every penny back. For someone who doesn't like being judged, you are very judgemental.


PS, right I have now read through every post of yours on this thread and nowhere prior to post #47 at 5.13pm today (i.e. your last post) did you say that your father would no longer claim benefits after receiving the inheritance. Slightly important information, in relation to the questions you are asking...

Not claiming benefits you could/should/would be entitled to and forcing yourself into debt is idiotic. Your DMP now means that people who gave you money in good faith are losing out and are getting pennies back each month. You could have done the truly honorable thing and kept to your word, and paid them what you promised, with them taking into account the fact you are on benefits. It's not being judgemental - YOU got YOURSELF into debt by ACCEPTING CREDIT YOU COULD NOT AFFORD TO PAY BACK. There is no judgement there, only fact. I am not in debt because I don't get credit for anything. If I can't pay for my stuff in cold hard cash then I don't buy it. If buying something has the potential to leave me short or I am short, I either don't buy it, or I sell my stuff to make up the shortfall. Hardly rocket science, is it.

I didn't realise that other people were incapable of using their common sense. Just because a handful of people commit benefit fraud, does NOT mean that every single person on benefits is going to do the same. You all jumped to the wrong conclusion. I also said I hoped I had supplied enough information for an accurate answer. At NO POINT did any of you ask for clarification, you turned it into an immediate slanging match.

Take a look at the recessions we were previously in - so many people were going bankrupt that peoples books were piled in the corner at the bankruptcy office. There is no shame going bankrupt if you need to. In fact, it's the smart thing. You know the going bankrupt affects your life, right? It's not a decision that was taken lightly.

Honest questions, like please supply more information, does he intend to keep claiming benefits, and then proceed with an honest answer. Obviously that was too difficult for most.

skintandscared_2

davefrombristol wrote: »

But no one saw fit to mention "diminishing capital" and lets face it if youve worked for 45 years and come into a bit of money - a holiday cruise ( say £2000 as I probably quoted a bit high when mentioning £5,000 ) is what most of us would consider.

My parents worked all their lives and went on a cruise when they were 70.

I do agree it can appear a harsh system. My parents worked all their working lives too and are now retired. Because of their unbelievably careful living they have 3 pensions, no mortgage, a small but nice car and a lovely motorhome which they holiday in. We never had holidays abroad, grew all our own veggies and all our bread/cakes were homemade. They'd buy bulk meat from the butchers and fill up a massive chest freezer in the garage. Our sofa was a second-hand one they had re-covered and must have been at least 30 years old by the time I left home! The only benefit they've ever claimed is child allowance or whatever it's called that every child has. All of me, my brother and sister have worked since we were legally able to and none of us have ever been out of work. We all sincerely hope that my parents spend every penny of their money on having the best time they can while they're physically able to and don't even consider any inheritance.

I know it doesn't seem fair, but the fact is that if they had a windfall they could spend it on whatever they like because they are not relying on the state to subsidise their living expenses. That is the only reason the OP's father has to justify what he spends his windfall on - because he claims assistance to pay his bills. If he didn't do that, he wouldn't have to answer to anyone. Do you see what I mean?

skintandscared_2

rachyroundbum wrote: »

Not claiming benefits you could/should/would be entitled to and forcing yourself into debt is idiotic. Your DMP now means that people who gave you money in good faith are losing out and are getting pennies back each month. You could have done the truly honorable thing and kept to your word, and paid them what you promised, with them taking into account the fact you are on benefits. It's not being judgemental - YOU got YOURSELF into debt by ACCEPTING CREDIT YOU COULD NOT AFFORD TO PAY BACK. There is no judgement there, only fact. I am not in debt because I don't get credit for anything. If I can't pay for my stuff in cold hard cash then I don't buy it. If buying something has the potential to leave me short or I am short, I either don't buy it, or I sell my stuff to make up the shortfall. Hardly rocket science, is it.

I have actually already paid back everything I spent. What I am paying now (which definitely ISN'T pennies!) is interest on what I spent. And the reason it isn't all paid off already is that the personal injury judgment that my partner was awarded was not paid because, guess what, the defendant went bankrupt to avoid paying it.

I now haven't used credit for 3 years and I agree it's the only way to live a happy life. I've learned the hard way, and I will never spend beyond my means again - or spend based on money I BELIEVE we will be getting but haven't actually received yet!!

skintandscared_2

rachyroundbum wrote: »

Your DMP now means that people who gave you money in good faith are losing out and are getting pennies back each month. You could have done the truly honorable thing and kept to your word, and paid them what you promised...

... Take a look at the recessions we were previously in - so many people were going bankrupt that peoples books were piled in the corner at the bankruptcy office. There is no shame going bankrupt if you need to. In fact, it's the smart thing. You know the going bankrupt affects your life, right? It's not a decision that was taken lightly.

How, exactly, do these two paragraphs not totally contradict each other??

I am dishonourable because I have entered a DMP to pay back my debts IN FULL, but slower than originally agreed. Yet there is no shame in going bankrupt and paying back absolutely nothing??

Pollycat

Pollycat wrote: »

Does anyone agree that the key question is whether the OP's Dad has an assessed income period?

Mojisola wrote: »

The AIP question is central to this issue. My parents have received a small inheritance recently but, because they are over 80, this does not affect their Pension Credit. They are using the money to pay for more carers so that they can stay in their own home for longer and are very grateful.

So, OP (and apologies if I've missed the answer) does your Dad have an Assessed Income Period on his Pension Credit letter?

Mojisola wrote: »

I know the idea that someone wants to claim benefits after they receive an inheritance really riles people but it's a shame when a thread deteriorates into a slanging match. If the OP is given the facts, she can make sure her Dad complies with the law.

I so agree, Mojisola.

I've said an another thread that I started that the important thing is what you are entitled to claim for.
And if the OP's Dad doesn't have to declare this change to his savings (if he has an AIP), surely it's nobody else's business.

sunnyone

Pollycat wrote: »

So, OP (and apologies if I've missed the answer) does your Dad have an Assessed Income Period on his Pension Credit letter?



I so agree, Mojisola.

I've said an another thread that I started that the important thing is what you are entitled to claim for.
And if the OP's Dad doesn't have to declare this change to his savings (if he has an AIP), surely it's nobody else's business.

No matter whether he has a AIP you should always keep the benefits agency informed of your current situation, that way you cant be blamed for anything.

Mojisola

sunnyone wrote: »

No matter whether he has a AIP you should always keep the benefits agency informed of your current situation, that way you cant be blamed for anything.

I think this is right. I contacted them on my parents' behalf and they sent a letter back saying that nothing will change. It's worth doing so that you have it in writing that you are entitled to what you're getting.

skintandscared_2

Mojisola wrote: »

I think this is right. I contacted them on my parents' behalf and they sent a letter back saying that nothing will change. It's worth doing so that you have it in writing that you are entitled to what you're getting.

As I said, when the father knows what money he will be receiving he should contact the benefits office and find out exactly what he can or can't spend. In the OP's words ... it's not rocket science.

Pollycat

sunnyone wrote: »

No matter whether he has a AIP you should always keep the benefits agency informed of your current situation, that way you cant be blamed for anything.

skintandscared wrote: »

As I said, when the father knows what money he will be receiving he should contact the benefits office and find out exactly what he can or can't spend. In the OP's words ... it's not rocket science.

Neither is reading the booklet that comes with your pension credit letter that tells you very very clearly what change of circumstances you need to tell DWP about - the notifiable changes differ depending on whether you have an AIP or not.