JSA claim. Undeclared savings. Please help!

LordLee

sleepless_saver wrote: »

The JSA form also contained a box for you to include your savings. You left that blank so they assumed you had zero savings and went on to pay you housing benefit.

It was this that caused the problem, not the fact that you don't understand the benefit system.

I realise the problem was not entering savings. This is my stupid error. I was just saying when i realised i didn't bother correcting it as i had been informed that savings do not count whilst on contribution based JSA. It isn't very clear when applying for these things that housing benefit etc is a separate entity.

Anyway... this is all by the by. I just want to put it right. I was/am just worried that by going to the council and declaring will still get me into a lot of trouble. I'm just worried and kicking myself over this.

As i say... i've always worked and never experienced 'the system' and feel a little stupid.

sleepless_saver

LordLee wrote: »

Anyway... this is all by the by. I just want to put it right. I was/am just worried that by going to the council and declaring will still get me into a lot of trouble. I'm just worried and kicking myself over this.

As i say... i've always worked and never experienced 'the system' and feel a little stupid.

I still remember my first experience claiming benefits, so I do sympathise.

If you're worried about going along to the council and trying to get it sorted, you could maybe get help from local CAB e.g with a letter to explain the position, negotiate affordable repayment terms, provide moral support etc. If you're volunteering that you provided the wrong info, I don't see them going for any criminal proceedings.

t0rt0ise

Anubis wrote: »

For savings between £6,000 and £16,000, you are treated as having £1 a week income for each £250 or part of £250 savings over £6,000. So if you have £6,001-£6,250, you are treated a having £1 a week income. If you have £6,251-£6,500, you are treated as having £2 a week income etc.

So for £8 k you are looking at a reduction of £8 per week off both benefits (HB AND CT) = £16 per week overpayment IF figures are still the same.

But only until his savings fell below £6,000. Do they work it out weekly as he spends his savings? Or how does it work?

LordLee

I called my local council and explained. They don't seem to know what they are doing either as they told me not to worry as i'm allowed £16,000. When i said i'm not sure that is right now i've done a bit of worried research... they said to email a different department. I did this and have heard nothing for a day or so... will just wait and see i guess. I've declared the savings... so not a great deal I can do.

Anubis_2

LordLee wrote: »

I called my local council and explained. They don't seem to know what they are doing either as they told me not to worry as i'm allowed £16,000. When i said i'm not sure that is right now i've done a bit of worried research... they said to email a different department. I did this and have heard nothing for a day or so... will just wait and see i guess. I've declared the savings... so not a great deal I can do.

As I said, they deduct £1 for each £250 over 6k.

Pepzofio

Anubis wrote: »

As I said, they deduct £1 for each £250 over 6k.

Actually, I don't think this is strictly true - the £1 per £250 is 'assumed income', so it is added to the weekly income rather than deducted from the benefit award.

For income based JSA/ESA/IS claims the effect is the same, as any income (after disregards) is 100% offset. HB & CTB are slightly different, in that they have withdrawal rates of 65% and 20% respectively, therefore as I understand it, their award would be reduced by -

£4 x 65% = £2.60/wk for HB and
£4 x 20% = £0.80/wk for CTB

I have to say, I've previously been under the impression that it was a straight reduction, but I think this is because often it is explained in the context of all applicable means tested benefits, where for the majority, as I said, this would be the case. Most council websites explain it a bit better as they deal solely with HB/CTB and not JSA/ESA/IS etc See this link -

http://www.tmbc.gov.uk/cgi-bin/buildpage.pl?mysql=234