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Housing Benefit issues

Hello all,

this is my 1st post and i am doing it on behalf of my elderly mother.

She recently divorced and was awarded a divorce settlement of £20,000. She used this to have a lifetime one off holiday to mexico and just recently gave me some money to fix my car as someone smashed it up.

Because her money has gone down to £9000 because she also bought a car to to get around, and because she is disabled the council wrote to her demanding receipts of what she has spent her money on.

She has asked me to write to them and confirm that she gave me £1000 to help me fix my car and i was just wondering if this was legal because im pretty sure they have no right to do this and it is in fact discrimination..

Any advice ???
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Comments

  • Discrimination against what?

    If you mother doesn't claim benefits then she's entitled to spend her money on whatever she likes.

    However, if she claims benefits then the authorities are completely entitled to ask her where her own money has gone, since she is spending her money then expecting the taxpayer to subsidise her bills for her. If your mother is claiming benefits then I'm afraid she doesn't have £1,000 "spare" to give to you. She needs it for her own expenses.
    DMP Mutual Support Thread member 244
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  • My mother is disabled and is legally entitled to housing benefit. You are legally allowed to claim benefits if you have less than £16,000 in savings.

    You are being somewhat discriminatory yourself are you not.

    How does the council have the right to demand proof of what she spends her money on, how do they ahve the right ? they ahve no right whatsoever.

    The dwp dont ask for reeipts of what people spend their jsa, working tax credits etc on so how is this any different ??
  • Poppie68
    Poppie68 Posts: 4,881 Forumite
    Tenth Anniversary Combo Breaker
    Hello all,

    this is my 1st post and i am doing it on behalf of my elderly mother.

    She recently divorced and was awarded a divorce settlement of £20,000. She used this to have a lifetime one off holiday to mexico and just recently gave me some money to fix my car as someone smashed it up.

    Because her money has gone down to £9000 because she also bought a car to to get around, and because she is disabled the council wrote to her demanding receipts of what she has spent her money on.

    She has asked me to write to them and confirm that she gave me £1000 to help me fix my car and i was just wondering if this was legal because im pretty sure they have no right to do this and it is in fact discrimination..

    Any advice ???


    They didn't write to your mother because she is disabled so there is no discrimination, they wrote to her because she is obviously in reciept of HB and at one time had £20,000 sat in her bank.
  • Poppie68 wrote: »
    They didn't write to your mother because she is disabled so there is no discrimination, they wrote to her because she is obviously in reciept of HB and at one time had £20,000 sat in her bank.

    Yes i understand that point but how is this legal.

    How does the council have the right to demand proof of what she spends her money on, how do they have the right ? they ahve no right whatsoever.

    The dwp dont ask for receipts of what people spend their jsa, working tax credits etc on so how is this any different ??
  • Torry_Quine
    Torry_Quine Posts: 18,884 Forumite
    Part of the Furniture 10,000 Posts Photogenic Name Dropper
    My mother is disabled and is legally entitled to housing benefit. You are legally allowed to claim benefits if you have less than £16,000 in savings.

    You are being somewhat discriminatory yourself are you not.

    How does the council have the right to demand proof of what she spends her money on, how do they ahve the right ? they ahve no right whatsoever.

    The dwp dont ask for reeipts of what people spend their jsa, working tax credits etc on so how is this any different ??

    Google deprivation of assets. Basically you can't spend money in order to become eligible for benefits which is what it can appear to be when she had a large amount and much less now.
    Lost my soulmate so life is empty.

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  • Poppie68
    Poppie68 Posts: 4,881 Forumite
    Tenth Anniversary Combo Breaker
    Yes your mother is allowed to have £16000 in savings and still claim HB, but anything above £6000 will reduce the amount of HB she is entitled too if she is under 60 years old, and anything over £10,000 will reduce the HB if she is over 60 years old..
  • Poppie68
    Poppie68 Posts: 4,881 Forumite
    Tenth Anniversary Combo Breaker
    Yes i understand that point but how is this legal.

    How does the council have the right to demand proof of what she spends her money on, how do they have the right ? they ahve no right whatsoever.

    The dwp dont ask for receipts of what people spend their jsa, working tax credits etc on so how is this any different ??


    It is all legal and above board. Your mother is being paid HB because she cannot afford to pay her rent. The rules do allow for capital but there is a limit, if your mothers savings breach that limit they are well within their rights to question were the money has gone as she has had more than the £16,000 allowed to qualify her for HB..
  • Google deprivation of assets. Basically you can't spend money in order to become eligible for benefits which is what it can appear to be when she had a large amount and much less now.

    she hasnt spent money in order to get benefits. wow.

    she was married to an abusive man for 20 years and was on and is still on dla and hb and support related esa and before that was on incapacity benefit because she has almost no vertebrae in her back.

    she used money to have a once in a lifetime holiday with her sister because she deserved it.

    I cant believe that they have the right to do this..
  • princessdon
    princessdon Posts: 6,902 Forumite
    Is she retired?
  • Is she retired?

    no hun she is 59.

    She lost all the vertebrae in her back when she was in her 20's and uses sticks and a wheelchair.
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