Pension Credit and 2nd Home

zoxsa

Hi Poppy,

I never saw the term Deprivation of Capital on post number 7.

What do you mean by that term? Am I wrong in thinking that there is NO benefit to us in paying a CGT on removing his name from the Title Deeds?

poppy12345

a claimant who deprives him or herself of capital for the purpose of retaining or obtaining entitlement to means-tested benefits (i.e. Income Support, Housing and Council Benefit, income-based Jobseeker's Allowance, income-based Employment and Support Allowance and State Pension Credit) will be treated as depriving themselves of capital. Under the regulations the claimant will then be treated as still possessing the value of the actual capital

zoxsa

Oh my goodness! Thank you Poppy!!

OK.. so, that's not really the case:
Why? I WANT TO STOP THESE STUPID PENSION CREDITS.
I TOLD THEM TO CEASE IT.
They just continued paying him.

I want them to stop until this is all cleared up.

So, I'm not taking his name OFF the house to continue receiving pension credits.. I'm taking it off so:
a) I can get a remortgage
b) I can reduce any liability should the investigation turn sour.

and c) - The hell with pension credits.. I only learnt about them in 2017 when my mother passed away and I had to deal with this. We asked them to stop it formally.

poppy12345

You have 2 different threads asking the same questions and this is getting very confusing.



He should ring DWP about the pension credit, rather than write to them.

xylophone

The DWP are now in process of an investigation - it would be wise to take no action other than making an appointment with a Benefits Adviser at CAB to discuss the situation?

zoxsa

Well he's deaf, so I need to call them.

But other than paying CGT and then stopping pension credits, why is removing his name from the title deeds a bad thing?

zoxsa

I got this form/questionnaire to fill in. It asks questions like since when did you own this house etc.. and will the other tenants be OK to sell their part?
Im worried about filling any of this in...

bspm1

zoxsa wrote: »

I got this form/questionnaire to fill in. It asks questions like since when did you own this house etc.. and will the other tenants be OK to sell their part?
Im worried about filling any of this in...

Your father owns two houses, one he lives in the other he rents out, he would not have received PC if the DWP had known this, no matter what YOU do with the rental income is immaterial, the rental income has never been used when calculating their entitlements to benefits.

Not sure if you are aware that being in receipt of PC leads to other benefits like Council Tax Reduction, free Dental work, free Prescriptions too I believe, what is there not to understand ?
You cannot own two properties and not mention one of them in order to receive help. talking about taking his name off the property now is immaterial.

I think you should get professional, paid for help and not keep asking questions on an internet message board.

You are not related to danday are you?

pmlindyloo

I agree that you need to allow them to do the investigation.

The reason that they have not stopped your dad's Pension Credit is because they cannot do this if they decide that the property can be disregarded for a period of time/whether they need to take the rental income into account/whether you own the property in joint names/tenants in common/whether the capital can be disregarded for a period of time whilst it is sold/the tenants are remove/whether the house can be sold easily (i.e would you agree to a sale/would your dad force a sale) etc etc.

You need to answer all the questions on the form honestly and let them get on with it. You do not even need advice at this stage. Your dad's Pension Credit is still being paid - currently your dad has no access to this capital in terms of actual cash. The time for advice is after they have made the decision.

The 'rules' for capital in Pension Credit are here:

https://assets.publishing.service.gov.uk/government/uploads/system/uploads/attachment_data/file/690030/dmgch84.pdf

You can have a read to see how complicated it is.

As regards removing his name from the deeds then this is a definite 'no no' for now and probably in the future. This would be seen as you and your dad trying to get rid of the asset.

bspm1

Am I sad but I am almost sorry I have a football match to go to as this thread will be a juicy one.

Never mind I can catch up when I get back this evening and will relish reading new replies, more than likely with differing information to suit the thread.

Like I asked in an earlier post, are you related to danday? He only chose to answer questions that suited him.

Watch this space