Moving from CB JSA to IB JSA query

debbie_doo

Am I right in thinking that if you are moving to IB JSA as your 6 months are up on CB, if you have less than 6k in savings then your weekly payment is unaffected?

A friend of mine is being moved over and are a bit concerned as they have some redundancy money left, they have no other income and are single living on their own. I had a quite look on directgov website but all I can see on there is that you can have upto 16k in savings? I've told them that they will be ok with what they've got left in redundancy to change over to IB but I'm not sure if what they have will affect the weekly amount received?

anyone know if I'm right re: the lower limit?

thanks

debbie_doo

bumping up - sorry

MissMoneypenny

I think payments are only reduced when you have savings between 6k - 16k.

I don't know if the DWP will look into how fast their redundancy has been spent, or what it has been spent on.

Someone who can give you a definate answer, might be along soon.

donnajunkie

you can have upto 6k without it affecting ib jsa. if you have between 6k and 16k you lose so much jsa for every few hundred pounds. i think its a £1 lost for every £250 or every £500, not sure on that. if you have over 16k you probably wont get any jsa but can sign on to get ni credits paid for you. be warned though this would mean they can still put you on stupid schemes.
a question i would ask if you do have savings over 6k is how long am i expected to last the money over the 6k. the reason you need to ask is it affects what you spend it on and how quickly you spend it. after people with 8k could withdraw 2k and say they have spent it when they really have it hidden somewhere. so no doubt they wouldnt allow that and must expect people to last it a certain amouny of time. however you would also not want to be cutting back further than you have to to try and make the money last as long as possible because you think you wouldnt get all your jsa back. so basically you just need to know were you stand in terms of the excess savings and how long you are expected to make it last.

Oldernotwiser

debbie_doo wrote: »

Am I right in thinking that if you are moving to IB JSA as your 6 months are up on CB, if you have less than 6k in savings then your weekly payment is unaffected?

A friend of mine is being moved over and are a bit concerned as they have some redundancy money left, they have no other income and are single living on their own. I had a quite look on directgov website but all I can see on there is that you can have upto 16k in savings? I've told them that they will be ok with what they've got left in redundancy to change over to IB but I'm not sure if what they have will affect the weekly amount received?

anyone know if I'm right re: the lower limit?

thanks

New applications for IB are no longer allowed as ESA is the appropriate benefit. Means tested benefits aren't affected with savings below £6,000 and are reduced on a sliding scale between £6,000 and £16,000.

Hopefully she won't have blown her savings on unnecessary spending as she could be seen to have deprived herself of capital in order to claim benefits.

MissMoneypenny

Oldernotwiser wrote: »

New applications for IB are no longer allowed as ESA is the appropriate benefit.

I think the "IB" in debbie_doo's second paragraph, meant "Income Based";)

Oldernotwiser

MissMoneypenny wrote: »

I think the "IB" in debbie_doo's second paragraph, meant "Income Based";)

Now I've reread it, I think you're right.

debbie_doo

hi everyone,

thanks for your replies, yes I meant Income Based lol, They were made redundant in April so from what I can gather the contribution based JSA has now run out and they have around 6k left in redundancy from about 12k so spent half of it in 6 months, not sure what the DWP will make of this? I presume they will want my friend to provide bank statements etc? showing where the moneys gone and how much they have left? Hope they don't think that they have excessively used 6k of redundancy and start cutting into their JSA

donnajunkie

debbie_doo wrote: »

hi everyone,

thanks for your replies, yes I meant Income Based lol, They were made redundant in April so from what I can gather the contribution based JSA has now run out and they have around 6k left in redundancy from about 12k so spent half of it in 6 months, not sure what the DWP will make of this? I presume they will want my friend to provide bank statements etc? showing where the moneys gone and how much they have left? Hope they don't think that they have excessively used 6k of redundancy and start cutting into their JSA

did they tell the jobcentre they had 12k when they started claiming contribution based jsa? if not then the jobcentre doesnt know about it. when they claim ib jsa they will probably need to show their most recent bank statement but i believe that is just to check how much they have now and bank statements dont usually go back 6 months especially if they just print it off on the machine at the bank.