Benefit fraud?

fabforty

LindaR1965 wrote: »

They also mentioned something about she had less than £2000 over the allowed £6000. Don't know what this means, neither does daughter. She was so distraught at this point, she wasn't fully taking everything in. This makes me think they still don't know about the £40,000 in bonds. My first reaction was to go to them , show bank statements, tell them everything and look for clemency as it was not a deliberate lie or hiding money. Lawyer advised on phone not to help them. He will advise more at meeting in Tues.

Why would you even consider witholding the information about the £40k? If DWP are already digging through her accounts, the chances are that they will discover this money eventually. If this were to happen, and in view of what has already happened, it would be difficult for your daughter/you to claim at a later date that you didn't know that you needed to disclose this money.

w06

how can your daughter have not known about £28K which she has spent? It sounds as though she needs to take all of her savings statements to the DWP, hope that they're feeling lenient and pay back what she's been given in means tested benefit

Housing_Benefit_Officer

https://www.gov.uk/government/uploads/system/uploads/attachment_data/file/365782/hbgm-bw1-assessment-of-capital.pdf

What is capital?

(W1.72)
• National Savings Income Bonds
• Premium Bonds


What type of Bond are they? Does she have sole ownership?

Housing_Benefit_Officer

fabforty wrote: »

Why would you even consider witholding the information about the £40k? If DWP are already digging through her accounts, the chances are that they will discover this money eventually. If this were to happen, and in view of what has already happened, it would be difficult for your daughter/you to claim at a later date that you didn't know that you needed to disclose this money.

They will already know. It will be picked up by Data Matching. Just because they haven't mentioned it doesn't mean they don't know about it. We give claimants a chance to come clean and normally get them to complete a new claim form. If they still don't declare additional capital they get called back in for an interview - doesn't look good in Court when it can be proved they have deliberately tried to hide capital.

IAmWales

I put £28,000 in her account. This was part of an inheritance she received 13 years previously. She has no idea of this inheritance. She bought a brand new car, paid for driving lessons, insurance for car, went on holiday, bought clothes, make up etc, crashed car so bought another. Money was soon gone.

Has no idea or had no idea?

Either way, £28,000 is a massive amount to spend in such a short time, especially given that she knew she would be claiming benefits at some point in the near future.

benidorm is wrong about compliance, they can and do deal with fraud. You and your daughter need to start being honest before this escalates further.

elsien

If the bond is part of the inheritance why would she not have any knowledge of it? What reasons were there for not telling her? Surely she should need to know everything that might impact on her financial situation, such as the situation she now finds herself in?
It does sound to the outside observer that a decision has been made by someone to both keep her money to spend as she wants, and still claim full benefits.

Mojisola

poppy12345 wrote: »

Ah yes this would be called deprivation of capitol. She will need to provide reciepts for what she spent the money on.

Buying a brand new car, and going on holiday would be deprivation of capital to allow herself to claim Income Related benefits.

Only if she knew that she was going to need to claim means tested benefits.

p00hsticks

LindaR1965 wrote: »

About 2 years ago before she was in receipt of esa I put £28,000 in her account. ....... She bought a brand new car, paid for driving lessons, insurance for car, went on holiday, bought clothes, make up etc, crashed car so bought another. Money was soon gone.

LindaR1965 wrote: »

Now 2 years later they are investigating her.

LindaR1965 wrote: »

Think it was about a year after the money was put in her account.

I think you need to be really clear about exactly when you gave her the money, how long it took her to spend it and when she first applied for ESA - the timeline is going to be critical and at present it;s not really adding up. If she's only been on ESA for a year, the sum involved is going to be nowhere near £18,000 - as others have said, her PIP is not means tested and so totally unaffected by any earnings / savings.

LindaR1965

Her dad died and then 4 months later his mum died. She had not changed her will so the money that was due to her dad got put in trust with myself and my sister as trustees. This was held till she reached 18. At the time she claimed. She had no idea of this money. It was held in trust till she reached age of sense, which was 18. She had no access to them. When she reached 18, I released £28,000 to her to do with what she wanted. Mad money we called it. She had been diagnosed with a progressive incurable illness and had been almost bed bound for 6 months so I wanted her to spend spend spend to help her feel better. Maybe not the best advice but you had to be there to appreciate the devastation she was feeling at diagnosis. So after that my sister and I released the remaining funds into her name. These funds are kept to help look after her in the future by either a down payment on a property or adaptations to a property should she need it. We did not give this money any thought or conceal it as after initial conversation I never thought to mention it again. I can't even say I thought it was ok to not mention because of being told it did not count as the money just did not enter my head again.

cattie

This makes me think they still don't know about the £40,000 in bonds. My first reaction was to go to them , show bank statements, tell them everything and look for clemency as it was not a deliberate lie or hiding money. Lawyer advised on phone not to help them. He will advise more at meeting in Tues.

I don't think I'd have any faith whatsoever in guidance from a lawyer who encourages withholding information from the DWP. Government departments such as DWP & Inland Revenue share data, so can easily find out a persons financial circumstances & it will look far worse for your daughter not to be upfront & honest about all of her financial holdings before this goes any further.