Overpaid on Income Support

Izzy_Ziddi

If having funds available in form of credit cards and for that to be treated as capital should then be requested to be declared on the application forms no? I mean they ask about all bank accounts and savings so why not about credit cards? I'm asking as this point will be news to alot of people who assume loans and credit cards are not form of capital as the money belongs to another party.

PLYSU

Izzy_Ziddi wrote: »

If having funds available in form of credit cards and for that to be treated as capital should then be requested to be declared on the application forms no? I mean they ask about all bank accounts and savings so why not about credit cards? I'm asking as this point will be news to alot of people who assume loans and credit cards are not form of capital as the money belongs to another party.

Hi. Yes this was news to me too and it would not occur that borrowing money could affect a claim to benefit. I don't understand how the social security office knows what someone has in their bank account. I understand if the money was in an ISA account as this is linked to your national insurance records, but an actual bank account? Talk about big brother!

I hope you get it sorted.

pmlindyloo

Izzy_Ziddi wrote: »

If having funds available in form of credit cards and for that to be treated as capital should then be requested to be declared on the application forms no? I mean they ask about all bank accounts and savings so why not about credit cards? I'm asking as this point will be news to alot of people who assume loans and credit cards are not form of capital as the money belongs to another party.

The DWP does not treat your ability to access loans as capital for means tested benefits. In your case you actually took out a loan. This is treated then as capital whether you had the money in the bank for one hour. It would show on your bank statement as being paid into your bank.

What then happened to the money is the important thing. It is being shown, presumably, as then being transferred out of your account to somewhere else. (your friend?)

This would immediately cause an investigation as to what was done with the money and as to whether it was regarded as deprivation of capital.

Certainly put in a mandatory reconsideration as you are not denying you had the money but rather that the capital should only be counted for the period when it hit your bank account t the end of your claim.

It should not be counted from when you did not have the funds in your bank regardless of the fact that you may well have been able to access a loan or not.

During your time on Income Support were there any other loans going in and out? This is the only reason I can think of when they would apply a different time scale.

Are you sure you sent all the relevant documents, particularly the date of loan application and bank statements from the beginning of your IS claim to the end?

BorisThomson

Izzy_Ziddi wrote: »

If having funds available in form of credit cards and for that to be treated as capital should then be requested to be declared on the application forms no? I mean they ask about all bank accounts and savings so why not about credit cards? I'm asking as this point will be news to alot of people who assume loans and credit cards are not form of capital as the money belongs to another party.

You're not reading what people are telling you.

Availability of credit is not capital. Money in your bank account, whatever the source, is capital. Capital you choose to loan out to others is capital.

Izzy_Ziddi

Yes I hand delivered the supporting documents to the Compliance Officer who confirmed they were all scanned and emailed to the relevant team. This is the only transaction that has taken place since the date of my claim.

Izzy_Ziddi

Thank you for making it clear. I suppose then this would fall under "change of circumstances" and I should have notified them. I did end my claim within 1 week anyway so I guess what I need to know is if they have made a mistake in saying I have to repay from the start of my claim until it ended?

Izzy_Ziddi

Thank you for making it clear. I suppose then this would fall under "change of circumstances" and I should have notified them. I did end my claim within 1 week anyway so I guess what I need to know is if they have made a mistake in saying I have to repay from the start of my claim until it ended?