Vulnerable adult discretionary trust?

cattermole

My understanding is that someone who is disinherited who lacks capacity or is a child then Social Services can contest the will on that persons/child's behalf as their litigation friend.

I already corrected the deprivation of capital bit which was wrong. I agree you can't just say you don't want the money if you have been left it.

I've no idea what happens in Scotland I was talking about England.

Yes absolutely if it is in a properly set-up Trust it isn't a problem, I was talking about people who disinherit completely believing this avoids loss of benefits and the cost of care/maintaining the child/severely disabled adult to their Estate.

louBlou21

This is proving to be a very interesting discussion and I'm learning a lot! I have recently been told something I didn't realise and that is I should have informed the DWP of my father's death two years ago under the change of circumstance rules. I never expected to get any money and assumed, wrongly, that it automatically went to my Mum so for me none of my circumstances had changed. So now I'm potentially facing repaying the last two years' benefits because I could have had money then (which is weird as i couldn't because my family have been arguing up until now).

So in essence it looks like I will inherit £150k, come off all benefits and care support, repay up to £100k benefits and have one year's worth of funds to support myself. I will then have to re-apply for all benefits and care support and hope that social services provide the same level of direct payment as I'm on now under direct payment and independent living fund (as the ILF will be closed and the funds included in direct payments).

If nothing else this is a salutary lesson to remind everyone to make a will, especially if you have a vulnerable family member!

Mojisola

louBlou21 wrote: »

This is proving to be a very interesting discussion and I'm learning a lot! I have recently been told something I didn't realise and that is I should have informed the DWP of my father's death two years ago under the change of circumstance rules. I never expected to get any money and assumed, wrongly, that it automatically went to my Mum so for me none of my circumstances had changed. So now I'm potentially facing repaying the last two years' benefits because I could have had money then (which is weird as i couldn't because my family have been arguing up until now).

Your circumstances haven't changed until the money is in your bank account.

cattermole

So you Father passed away intestate?

In those circumstances if there is a surviving spouse then yes up to £250,000 goes to the husband/wife. Although joint accounts/property would be valued at half towards this.

After that yes the rest goes to surviving children in equal amounts.

I agree it is not sensible to not make a will, especially if it is a large Estate which your father's must have been. I would see if you can seek some legal advice. I'm not sure if as you haven't got the money yet whether it would go back 2 years it would be from the point Probate was granted or as Mojisola says when you actually get the money. Not sure what they are arguing about as the rules for passing away in testate are clear. Your Mum would apply for the Letters of Administration as she is the main beneficiary. Presumably she has a solicitor advising her on all of this?

Your Mum needs to make a will as well otherwise the same thing will happen again.

Mojisola

cattermole wrote: »

I'm not sure if as you haven't got the money yet whether it would go back 2 years it would be from the point Probate was granted.

AIUI, until the administrator sends louBlou21 a cheque, nothing has changed regarding benefits.

I'd be interested if anyone knows differently.

cattermole

Mojisola wrote: »

AIUI, until the administrator sends louBlou21 a cheque, nothing has changed regarding benefits.

I'd be interested if anyone knows differently.

I agree (amended my post) as they crossed.

I do think the OP needs some separate legal advice on the best way forward for them.

Mojisola

cattermole wrote: »

I agree (amended my post) as they crossed.

I do think the OP needs some separate legal advice on the best way forward for them.

I started to wonder whether I was right or not - I have heard that in cases of awards for injuries where victims were on means tested benefits during the process, the benefits have to be paid back out of their compensation money because the award covers them from the date of the injury.

cattermole

I'm not 100% sure either.

However the figure for compensation for injury is calculated specifically to meet the loss/need.

This is a random sum of money.

I don't think it could be back dated on DP or ILF not sure about means tested benefits.