Erudio say Child benefit counts

ktp80

Please please can someone advise if Erudio can legitimately include our child benefit payments as part of my partners income. He currently earns under the salary threshold but they are including the child benefit payments for our two children and our tax credits in his income which pushes him over the threshold. We aren't married and the child benefit is actually in my name not his, if that makes a difference.

They have insisted we go through all our income and outgoings with them and they can't see why he can't pay £134 a month from the £330 we have left after mortgage bills, food, clothing and travel???!!! I am not sure how we are supposed to afford any other living cost?!!! They asked what cost might come up??? How ridiculous. Car breaking down? dental costs, prescriptions, birthdays, Christmas? Do we have to account for all unforeseen spending??? Or should we just cancel it all. Our mortgage lender wouldn't include it as income. Funny that.

Lungboy

They can include child benefit, but I'd think only if it's in his name, or jointly. I don't see how they can count it if it's in somebody else's name.

System

ktp80 wrote: »

They have insisted we go through all our income and outgoings with them and they can't see why he can't pay £134 a month from the £330 we have left after mortgage bills, food, clothing and travel???!!! I am not sure how we are supposed to afford any other living cost?!!! They asked what cost might come up??? How ridiculous. Car breaking down? dental costs, prescriptions, birthdays, Christmas? Do we have to account for all unforeseen spending??? Or should we just cancel it all. Our mortgage lender wouldn't include it as income. Funny that.

I can't see why you can't afford £134 a month either and neither would an IVA practitioner or anyone you approach to set up a DMP. Pretty much everything other than the mortgage, gas, electric, water, council tax, food and basic clothing and essential travel (to work/school, not after school clubs etc) is non-essential spending. What you've listed is optional spending which is not a necessity with the exception of dental and prescriptions and you're not going to be paying out for those often.

If it went to county court the court would force you to do it if you claimed you had no money to pay and they have a strict list of what they'd allow as expenses and I can guarantee it is shorter and with lower amounts than what you think is reasonable.

IAmWales

If you don't want child related benefits to be taken into account then you need to remove the child related costs that they cover from your outgoings. You can't have it both ways.

Richey_

I'm with the others even after you have paid towards your student loan you will have circa £200 a month spare after all bills even food, clothing and travel costs.
Most families would dream for that.
Stop the avoidance and do what the rest of us did and tighten the belt and just pay it, it will go eventually. Just be happy you are not on a nowvstudent loan paying over 6% interest.
Re read your post and realise how comfortable and for many enviable your financial situation is, even after student loan repayments. Your partner borrowed it, you can clearly afford to now repay it.

[Deleted User]

I'm sorry OP but so far you are getting judgements not advice, do as I would and take them with a pinch of salt. maybe a chat with CAB would be better for you.

ReadingTim

This article suggests yes, they can, as child benefit was always counted as income. I believe child benefit is usually paid to the mother, but that doesn't mean it's 'your' benefit rather than 'his' - it can only ever be paid to one parent, whether they're married or not.

Obviously it's up to you to decide whether you'd be better off receiving it but also paying back his student loan, or not receiving it and not paying back the loan. Unfortunately, you're not able to receive the benefit AND defer the loan repayment.