Sorting out a widow's affairs

confusED

konark wrote: »

It all hinges on whether the claim for HB was in single or joint names, and whether the bank account(s) were in sole or joint names.

Best situation; HB in husband's name only and joint bank account, wife inherits all money in account and it never forms part of husband's estate i.e LA , DWP etc can't grab it .
Worst situation; HB joint, bank account husband sole. All money part of estate, if you declare this on IHT205 DWP will investigate as he was claiming means-tested benefits.

If bank account is joint , it never forms part of husband's estate so who will know he had too much money?
.

HB in his name only.
Current account jnt (some of the money).
ISA in his name rest of the money.

Newly_retired

I am not sure that correct information has been given. DWP have greater powers to recover overpayment of benefits than ordinary creditors.

Keep_pedalling

confusED wrote: »

HB in his name only.
Current account jnt (some of the money).
ISA in his name rest of the money.

His housing benefit will now stop and any payments made after he dies will need to be paid back. As you probably are not going to need to apply for probate your FILs savings are not going to be picked up automatically because they will never be made public, but these saving now need to be declared in applying to HB and or PC for her.

getmore4less

Newly_retired wrote: »

I am not sure that correct information has been given. DWP have greater powers to recover overpayment of benefits than ordinary creditors.

Really which bit of legislation gives them those powers?

As I said they can recover from future benefits but there are none when the claim is against an estate.

Keep_pedalling

getmore4less wrote: »

Really which bit of legislation gives them those powers?

As I said they can recover from future benefits but there are none when the claim is against an estate.

The only people who can go beyond 6 years are HMRC

https://www.nationaldebtline.org/EW/factsheets/Pages/25%20EW%20Time%20limits%20for%20recovering%20debts/Page-04.aspx

In this case the council can still claim back the overpayment as they only need to go back to 2015, although I think it is more likely that payments to your MIL will simply be delayed until her savings fall to the qualifying level.

As you are getting deeply involved in this you should also think about setting a lasting power of attorney for your MIL and while you are at it do the same for yourselves.

RAS

OP

Given where your MIl lives I would strongly advise contacting Age UK http://www.ageuk.org.uk/money-matters/ . Speak to them first but they may well be able to offer a benefit check up for MIL and advice on the issues that are concerning you.

margaretclare

As is probably usual for 80yr olds all the financial affairs were dealt with by the now deceased.

Don't assume this. It's not necessarily the case.

Mojisola

getmore4less wrote: »

As I said they can recover from future benefits but there are none when the claim is against an estate.

The DWP has a whole department which claims money back from estates.

getmore4less

Mojisola wrote: »

The DWP has a whole department which claims money back from estates.

Only claiming back 6 years was the point being discused,

but as the debt line link points out "cause of action" can give them a chance to go back much further.

confusED

I can't talk properly now but thank you all for your help. I am heading to another bank today to find out what he has in there!!