Universal Credit & Undeclared Pension ISA

Pamholidays

Hi All

 In 2018 I started claiming UC after continuously being in work for 43 years, when claiming i did not declare an ISA as it was to top up my state pension and I had took it out many years earlier.
I was due to retire in 2020 but since they pushed back the retirement age i no longer could claim a states pension until i am 66.
Today however after a phone call from a DWP Compliance Officer who has flagged up my ISA and new lots about my bank transactions & now wants bank statements from all the way back to 2018. 

  I have never had any payments into my account other than from friends and relatives, the officer was very nasty and threatening on the phone and has left me quite distressed. 
Is it legal for her to all my bank records at hand?

poppy12345

Yes it is legal. When you first claimed UC you should have declared all your savings, regardless of where they were. If you had savings at that time of more than £6,000 you would have had a deduction of £4.35 per month for every £250 (or part there of) over that amount. If you had savings of more than £16,000 then you wouldn't have been entitled to any means tested benefits.

Only funds in an actual pension pot are disregarded unless you draw down from it.

You will now need to send them everything they've asked for. Any overpayment will need to be repaid back.

Lifematters

If your ISA was more than £16,000 from when you made the claim then just tell them that. No need to send statements if you admit you have always had too much capital to qualify. They can then just cancel your claim and you will need to repay overpayment. If less then £16,000 then yes, you should provide statements. 

poppy12345

Even if the ISA had more than £16,000 in it when the claim for UC was made the OP should still send what they've been asked to send because DWP will want to know how much overpayment there is. There may also be a fine on top of the overpayment for not declaring the ISA when the claim for UC was made.

molerat

Play nicely, do as they ask, provide information they request and pay back if required.  Mess them around and expect a full benefit fraud investigation.  Simples.

Pamholidays

so the moral of this story never save for a rainy day like our parents did spend everything as you earn then you will be entitled to full benefits when needed...kind of goes nicely with Their new Slogan "You will own nothing and be happy" doesnt it

poppy12345

To be fair UC is a means tested benefit and this is exactly why you should put your money into a pension pot, rather than just an ISA. When you claimed UC one of the questions is " do you have any savings"

Spoonie_Turtle

Pamholidays said:

so the moral of this story never save for a rainy day like our parents did spend everything as you earn then you will be entitled to full benefits when needed...kind of goes nicely with Their new Slogan "You will own nothing and be happy" doesnt it

No?  You're allowed to save up to £16000 not in a pension pot - a sizeable financial cushion, enough for a few rainy days!  And unlimited in proper pension pots locked away for the future.

TELLIT01

Pamholidays said:

so the moral of this story never save for a rainy day like our parents did spend everything as you earn then you will be entitled to full benefits when needed...kind of goes nicely with Their new Slogan "You will own nothing and be happy" doesnt it

NO.  The moral is to provide accurate information when claiming benefits.  Rightly or wrongly the fact of working for 43 years is totally irrelevant.  DWP are only interested in the past 2 full tax years.

When I worked at DWP many people raised the same question about the value of 'saving for a rainy day'.  Whatever our personal opinion may have been on the rules around claiming Income Related benefit, we had to adminster the system according to the rules applying at the time.

As has been said above, all you can do is comply with requests for bank statements etc.  The issue won't simply go away if you don't.

Pamholidays

yes locked away for a future one may not ever see since the powers that be keep moving the goalposts further away; 60 to 66 soon to be who nows'

Nannytone

Pamholidays said:

so the moral of this story never save for a rainy day like our parents did spend everything as you earn then you will be entitled to full benefits when needed...kind of goes nicely with Their new Slogan "You will own nothing and be happy" doesnt it

The moral of the story is... put your money into a  proper pension instead ov
F flying by the seat of your pants and just hoping you dont get caught