Correct and honest way to show benefit income on a credit card application

bluebareuk

I am disabled, with chronic illness so am in receipt of long term disability benefits. I classify myself as Retired due to Medical Reasons. I have a excellent credit history and use my two cards regularly, paying off the balance or nearly all each month. Due to a recent move, there have been some significant charges to my cards, which I won’t be able to pay off in one go when the statements arrive, so will incur interest charges.

I would like to apply for a 0% balance transfer card and due to my credit file in good order I am seeing some good deals. My question is that the application process asks for Gross Income, however, I do not pay tax on my benefit income as my disability benefit is non-taxable. The remainder of my income is below the tax threshold. If my “take home income” is net income is it acceptable to calculate an annual figure that I would have earn before taxes and use that a Gross Income?

[Deleted User]

No. Put the gross income, regardless of your tax situation.

bluebareuk

Deleted_User said:

No. Put the gross income, regardless of your tax situation.

Thank you for your prompt reply. 

So on the application I put my “take home benefit income” as a gross income? I had visions that the application process would reduce that annual figure by 25% or whatever to take into account Income Tax and National Insurance, thereby reducing (on paper) my disposable income.

[Deleted User]

bluebareuk said:

Deleted_User said:

No. Put the gross income, regardless of your tax situation.

So on the application I put my “take home benefit income” as a gross income? 

Yes. Otherwise, if they ask you to prove your gross income, they'll see that you were lying.

Then you're into fraud territory, which isn't as much fun as it sounds.

bluebareuk

That’s what I thought and how I’ve treated previous credit applications, but it was good to check just in case I was under representing my disposable income.