UC asset deprivation

Stevoharris

Hi
My partner passed away 9 weeks ago so now it is just me and 3 kids 9, 5 and 5. My partner did all the claims, child benefit etc so now I am having to take this on while deal with everything else. Normally we had both our wages and CB but now it's just my wage and benefits. Before she passed I had £4500 in the bank that I had drawn from equity in the house when we remortgaged last year, this was to do some work to the garden, i have since put it in an ISA until we do the work. When she got ill a fundraiser was set up on go fund me for us to make memories with the kids, unfortunately we didn't get the opportunity as she passed within a few weeks. I since put this into an ISA to keep it separate until we can decide what to do with it. I then received the BSP. Because of all this I got £0 from UC. I have requested review as they shouldn't have calculated the BSP in my money and also should the £7100 from gofundme be calculated as its not actual savings, it's a charitable gift. I have since spent £4600 clearing debt, car finance, credit card etc that were all 0% but thought best to use the money I got out of the mortgage for this now to ease my monthly outgoings and deal with the garden another time when i have any kind of motivation for it. Will this be classed as asset deprivation? Also, I now want to change my savings on UC but have BSP and gofundme now sat in ISAs do I have to declare these ISAs? I hope this makes sense. 
Thanks

Spoonie_Turtle

Stevoharris said:

Hi
My partner passed away 9 weeks ago so now it is just me and 3 kids 9, 5 and 5. My partner did all the claims, child benefit etc so now I am having to take this on while deal with everything else. Normally we had both our wages and CB but now it's just my wage and benefits. Before she passed I had £4500 in the bank that I had drawn from equity in the house when we remortgaged last year, this was to do some work to the garden, i have since put it in an ISA until we do the work.

When she got ill a fundraiser was set up on go fund me for us to make memories with the kids, unfortunately we didn't get the opportunity as she passed within a few weeks. I since put this into an ISA to keep it separate until we can decide what to do with it.

I then received the BSP. Because of all this I got £0 from UC. I have requested review as they shouldn't have calculated the BSP in my money and also should the £7100 from gofundme be calculated as its not actual savings, it's a charitable gift.

I have since spent £4600 clearing debt, car finance, credit card etc that were all 0% but thought best to use the money I got out of the mortgage for this now to ease my monthly outgoings and deal with the garden another time when i have any kind of motivation for it. Will this be classed as asset deprivation?

Also, I now want to change my savings on UC but have BSP and gofundme now sat in ISAs do I have to declare these ISAs? I hope this makes sense. 
Thanks

I'm sorry for your loss.

Using money to pay off debts is specified in the legislation not to be regarded as deprivation of capital for UC.

The GoFundMe money will count as savings, but the effect on your UC will be minimal - at £1100 over £6,000 it will mean a deduction of 5x£4.35 = £21.75 per month from your UC.  (If you have any other savings they will increase that deduction, but just explaining the effect of the GFM itself.)

I'm not sure about BSP, however even if it is disregarded you should still tell them about it for them to know what the money is, and how much to disregard.  Others will know for certain whether it should be disregarded or not.

HillStreetBlues

Stevoharris said:

Hi
My partner passed away 9 weeks ago so now it is just me and 3 kids 9, 5 and 5. My partner did all the claims, child benefit etc so now I am having to take this on while deal with everything else. Normally we had both our wages and CB but now it's just my wage and benefits. Before she passed I had £4500 in the bank that I had drawn from equity in the house when we remortgaged last year, this was to do some work to the garden, i have since put it in an ISA until we do the work. When she got ill a fundraiser was set up on go fund me for us to make memories with the kids, unfortunately we didn't get the opportunity as she passed within a few weeks. I since put this into an ISA to keep it separate until we can decide what to do with it. I then received the BSP. Because of all this I got £0 from UC. I have requested review as they shouldn't have calculated the BSP in my money and also should the £7100 from gofundme be calculated as its not actual savings, it's a charitable gift. I have since spent £4600 clearing debt, car finance, credit card etc that were all 0% but thought best to use the money I got out of the mortgage for this now to ease my monthly outgoings and deal with the garden another time when i have any kind of motivation for it. Will this be classed as asset deprivation? Also, I now want to change my savings on UC but have BSP and gofundme now sat in ISAs do I have to declare these ISAs? I hope this makes sense. 
Thanks

That is correct
https://www.legislation.gov.uk/uksi/2013/376/schedule/10
Quote 20 of Schedule 10 to the Universal Credit Regulations 2013 if you haven't already.

The Universal Credit Regulations 2013
[20.—[F6(1)] A payment made within the past 12 months of bereavement support payment in respect of the rate set out in regulation 3(2) or (5) of the Bereavement Support Payment Regulations 2017 (rate of bereavement support payment).]

[F7(2) Where bereavement support payment under section 30 of the Pensions Act 2014 (bereavement support payment) has been paid within the past 12 months to the survivor of a cohabiting partnership (within the meaning in section 30(6B) of the Pensions Act 2014) in respect of a death occurring before the day the Bereavement Benefits (Remedial) Order 2023 comes into force, any amount of that payment which is—

(a)in respect of the rate set out in regulation 3(1) of the Bereavement Support Payment Regulations 2017, and

(b)paid as a lump sum for more than one monthly recurrence of the day of the month on which their cohabiting partner died.]something.

The money will be disregarded for 12 months.
As advised, all other monies will count as capital.