Some advice on csa1 vs csa2

Extensionize

So my friend claims csa for her 2 children. She's on csa1. Her ex, for the past year has been doing constant change of circumstances every 3 months and payments have been reducing. He was paying £425 for years and now it's dropped to £160pm because his mortgage is £1000pm.

The lady on the phone told her that it would be a good idea to cancel the claim for 13 weeks then re apply under csa2 as then they would take a percentage of his income and don't take housing costs into account and he wouldn't be able to pull the high housing costs loophole.

Is this right? Is this actually a loophole where he can have high housing costs and his csa will be lowered.

Apparently under csa2 she will get £70pw instead of the £40 she's getting now.

Hope someone can advise on this as I have no idea :-)

kevin137

Extensionize wrote: »

So my friend claims csa for her 2 children. She's on csa1. Her ex, for the past year has been doing constant change of circumstances every 3 months and payments have been reducing. He was paying £425 for years and now it's dropped to £160pm because his mortgage is £1000pm.

The lady on the phone told her that it would be a good idea to cancel the claim for 13 weeks then re apply under csa2 as then they would take a percentage of his income and don't take housing costs into account and he wouldn't be able to pull the high housing costs loophole.

Is this right? Is this actually a loophole where he can have high housing costs and his csa will be lowered.

Apparently under csa2 she will get £70pw instead of the £40 she's getting now.

Hope someone can advise on this as I have no idea :-)

It is indeed true, however, the NRP could sit there wait 12 weeks from the date of closure and then open a case himself and she would be back on CSA1 and no payments for 12 weeks...!

So is it worth it, she is being paid, and at the rate the government decided was legal for his circumstances, and those very same circumstances could come back to bite her...

She may be lucky, and may be able to get away with this, but he sounds like he knows the system, in which case she could lose big time... But her choice, just be aware of what COULD happen...!

Extensionize

kevin137 wrote: »

It is indeed true, however, the NRP could sit there wait 12 weeks from the date of closure and then open a case himself and she would be back on CSA1 and no payments for 12 weeks...!

So is it worth it, she is being paid, and at the rate the government decided was legal for his circumstances, and those very same circumstances could come back to bite her...

She may be lucky, and may be able to get away with this, but he sounds like he knows the system, in which case she could lose big time... But her choice, just be aware of what COULD happen...!

Thank you for your reply. Can I ask what could happen, aside from him re opening the case? She thinks that it's worth going for it in the long run as she will either end up with the same amount of money she's getting now, or with more but she is sure she won't end up with less - is there a chance she will end up with less?

Also she seems to think that the 13 weeks the claim is closed she get backdated?

This 'lady' at csa told her all this info but i'm a bit skeptical of this plan And this person that was so willing to give her this advice may be completely wrong!

kevin137

If she closes the case, then for the period it is closed then NOTHING will be payable...!!! It cannot be backdated or owed as due because the case will of been closed...!!!

If he opens the case again before the 13 weeks, it may not start from scratch but be set after assessment at no change as no change of circumstances would of happened, it would still mean that it is NOT owed for the period it had been closed...

Be aware though, if he has ANY arrears, the CSA can't technically close a case anyway, so even if it went past the 13 weeks, if money was owed, he could claim it should be reopened on the older system as it won't be a legally closed case in the 13 week period, thus invalidating the 13 weeks, this may kick in the amount due for that period, but could not be sure...

I think it is a dangerous game to play, especially if it is currently being paid and regularly... The CSA is not always fair that is for sure...

And now look at it from HIS point of view, for over 10 years he would of been paying £425 a month, when on the new system he should of paid £280... Is that fair...??? Would it be fair that she can now change the rules to sort her and get more money when he couldn't do that before...??? He could easily of changed his mortgage and down sized his payment before, but he paid...

Why rock the boat, and i am not having a go at your friend here, but it does sound like all she is interested in is MONEY, and i understand in this economy, but what happens if the payment goes up, he can't pay his mortgage now, and loses his home, chances are at the same time depression kicks in, bitterness rears it's ugly head, he jacks his job and she gets £5 a week instead...

We see it all on here, how old are the child/ren and how long is left before they leave school/college...

If it is not long, by that i mean a couple of years, it may well be better to leave it... She has been overpaid for years according to the new system anyway... And while it is less now, you can't have it your own way all the time...

kevin137

Extensionize wrote: »

is there a chance she will end up with less?

I'll answer this specifically, yes she could...

But without details it cant be worked out...

A rough idea of take-home/net income on his part and how many children they have, and how many he has after this would make it easy to work out, if you have any idea, then send a PM and i will work it out for you...

kevin137

Done and sent...