Funeral Expense payment repayment?

ancojo2

Hello

My mother passed away so we had to claim help towards the funeral, we recieved the DWP letter today to say we got £1953 but in part of the letter it mentions details of the payment will be passed to DWP Recovery from Estates who will contact me for information of any estate.

My mother left no estate but had £2700 in the bank of which £770 is pension overpayments which will need to be paid back leaving about £1950, her funeral cost £3782 and flowers £870, there was also had a wake and other costs but I understand they do not coubt towards any help you can claim.

My question is will I have to pay any of the funeral expense payment back due to her having about £1950 left in her bank? There was no other source of money other than the money she had in the bank.

Thanks in advance

ancojo2

I'd just like to add that she left a letter leaving some of her money to her Grandchildren totalling £950 and £100 to the BHF, she also mentions wanting to go in the book of remembrance. I'm not sure of any of this is relevant.

HillStreetBlues

The DWP can claim back a £1 (unless there are any other creditors) unless they challenge the cost of the flowers as that seems high.
There is no money left for any other the other stuff

ancojo2

HillStreetBlues said:

The DWP can claim back a £1 (unless there are any other creditors) unless they challenge the cost of the flowers as that seems high.
There is no money left for any other the other stuff

Hi thanks for the reply, I'm not sure I fully understand what you mean in regards to £1?

Also there are no other creditors.

Thanks again

HillStreetBlues

Money in bank £2700 + £1953 funeral expense = £4653
Funeral cost £3782 + flowers £870 = £4652
Leaves a balance left over of £1
The DWP is an unsecured creditor of £770  (unsecured creditor are paid after any funeral costs)

sheramber

 It is possible  they will claim the £1950 from the estate. 

That will take precedence over any bequests in the will.

Keep_pedalling

HillStreetBlues said:

The DWP can claim back a £1 (unless there are any other creditors) unless they challenge the cost of the flowers as that seems high.
There is no money left for any other the other stuff

Funeral expenses come before any unsecured debt, but you can’t include things like flowers although in this case it is irrelevant as the main funeral costs exceed the total assets of the estate.

When was the pension overpayment made before or after her death? If before then then it is an unsecured debt against the estate and the funeral costs come first, if sometime afterwards because her bank had not been notified of her death so her account had not been frozen then it was never part of her estate and should be repaid by the administrator. 

https://www.gov.uk/benefit-overpayments/repayments-when-someone-has-died

Flugelhorn

I am sorry to hear  of your loss - can be tricky sorting all the finances

they certainly can claim the £1950 from the estate as the funeral costs are the first call on the estate. 

appreciate all families are different re what they want at the event - I organised a similar event and we spent £70 on flowers, that left rather more to give to nieces and nephews - we could easily have spent a lot more 

HillStreetBlues

Keep_pedalling said:

HillStreetBlues said:

The DWP can claim back a £1 (unless there are any other creditors) unless they challenge the cost of the flowers as that seems high.
There is no money left for any other the other stuff

Funeral expenses come before any unsecured debt, but you can’t include things like flowers although in this case it is irrelevant as the main funeral costs exceed the total assets of the estate.

When was the pension overpayment made before or after her death? If before then then it is an unsecured debt against the estate and the funeral costs come first, if sometime afterwards because her bank had not been notified of her death so her account had not been frozen then it was never part of her estate and should be repaid by the administrator. 

https://www.gov.uk/benefit-overpayments/repayments-when-someone-has-died

You can include flowers, they can also be deducted for IHT as long as they are "reasonable" as they are part of the funeral expense.
THE DWP does try and claw back DPAD using common law to reclaim payments from the bank. But they have no special right any more than other unsecured creditors.

ancojo2

Thanks for all the replies, I suppose its a case of waiting to see what they do. If they do claim it all back it will mean although we are on Income Support (I'm also a carer for my partner) because my mother had £2700 in the bank (£770 in benefits was overpaid into her bank after she died) we are left paying about £2700 (£4652 costs minus £1953 payment) plus the wake costs. It still does seem strange we wont get any help at all though if this is what happens? Would they not help towards the £2700 still left to pay after her bank money was used?

This was the first time we have done anything like this and it seems to have taught us a lesson that help may not be available even if the money left doesn't cover what the funeral cost. Even after saying that, we gave my mother a good send off and done as she asked in her letter so if it puts us in debt then so be it. Also even though we dont have savings I do not mind paying for my mothers funeral I just assumed there was help to do so and maybe there still is, I wont know until they get in touch and let me know either way.

Thanks again for all the replies, its much appreciated and sorry for my little ramble.

sheramber

There is a limit to the amount of grant you can get.

I would expect you would get that amount- assuming the expenses claimed are allowable- less the money available from the estate.

If you have already received the funeral grant then they may claim the £1950 so I would not distribute that money until you know if it will be claimed.