CSA Debt payment - does it affect benefits

Ettenna

This might sound like I'm trying to get money and keep my housing benefit but I am curious. We have reached financial settlement and I will be getting a capital payment in the next few months anyway. But before then .....

My ex has got a debt of £9400(ish) which hopefully he will be paying in one lump, or at least £7k of it in one go.

My question is - obviously I have to declare it to the council but do they take it into account as it is child maintenance debt repayment. If I was gettig regular child maintenance that wouldn't be taken into account. We are going through CSA.

Thanks.

RAS

Is this a capital payment or is it arrears of child maintenance?

fannyanna

I would imagine it would depend how long ago the arrears date back to - as there was a time when child maintenance did have an impact on benefits.

Cally_Smart

I can remember it was April 2010,any maintenance paid was taken into consideration all except £20 a week( I think it was that!) which you were allowed to keep.The rest was owed to the secretary of State for your benefits(if you were on any) not sure how they will be able to work it out but if its from the last 3 years its probably all yours.

Ettenna

It's from May 2012. It is child support - the capital payment for ancillary relief won't be paid for about another two months.

clearingout

I asked this once - my understanding is that it counts as 'capital', regardless of the fact that it came to you as child maintenance which would otherwise be disregarded. If you therefore have over £6k in the bank, you will need to declare it although there is nothing to stop you trying to get it ring-fenced as 'child maintenance', I think it'll be a losing battle. I would try posting on the benefits board (above this one) and see what they say - I think the response will be different. If you get the money, keep us posted because I'm sure it's something that quite a few people will face at sometime or another and it would be good to have a definitive answer.

fannyanna

clearingout wrote: »

I asked this once - my understanding is that it counts as 'capital', regardless of the fact that it came to you as child maintenance which would otherwise be disregarded. If you therefore have over £6k in the bank, you will need to declare it although there is nothing to stop you trying to get it ring-fenced as 'child maintenance', I think it'll be a losing battle. I would try posting on the benefits board (above this one) and see what they say - I think the response will be different. If you get the money, keep us posted because I'm sure it's something that quite a few people will face at sometime or another and it would be good to have a definitive answer.

That's very unfair if that it is the case.

Ettenna

Forgot to come back and update this. I spoke with the benefits section and they said that arrears of child maintenance in this case would not be counted as capital. I have to go in and sign a statement to say that is what the money is but they disregard it. Good to know

HoneyNutLoop

That is good to know, and surprisingly sensible.