Inheritance, Housing benefit/Council tax benefit and debt

viksviks84

itsthelittlethings said:

State pension, housing benefit and council tax benefit adds up to an ok amount. She should be able to afford to live. She may not be taking any flights to visit you. If you want to support her research local organisations which support people on low incomes, sometimes there are food pantries which as not food banks as such. Age Concern might also be able to help with advice.

I just can't wrap my head around the fact that she can't use her inheritance to take a holiday

viksviks84

itsthelittlethings said:

State pension, housing benefit and council tax benefit adds up to an ok amount. She should be able to afford to live. She may not be taking any flights to visit you. If you want to support her research local organisations which support people on low incomes, sometimes there are food pantries which as not food banks as such. Age Concern might also be able to help with advice.

That might be so. But if they consider her to have a notional income of 25k, but she only has 9k, she won't be able to pay council tax, rent and bills. What will happen to her then? Will the government put her in sheltered accommodation if they think she has 16k hiding somewhere, which she doesn't have

elsien

viksviks84 said:

itsthelittlethings said:

State pension, housing benefit and council tax benefit adds up to an ok amount. She should be able to afford to live. She may not be taking any flights to visit you. If you want to support her research local organisations which support people on low incomes, sometimes there are food pantries which as not food banks as such. Age Concern might also be able to help with advice.

I just can't wrap my head around the fact that she can't use her inheritance to take a holiday

She can take a holiday just not a ridiculously expensive one. 

However in terms of you saying you’ve loaned the money over 20 years – it’s not really a loan when she’s not managing day-to-day and it’s blindingly obvious you’re never going get the money back. If she hadn’t had the inheritance you probably had no expectation of any money back so I do think it’s on slightly dodgy ground calling it a loan now. 

itsthelittlethings

viksviks84 said:

itsthelittlethings said:

State pension, housing benefit and council tax benefit adds up to an ok amount. She should be able to afford to live. She may not be taking any flights to visit you. If you want to support her research local organisations which support people on low incomes, sometimes there are food pantries which as not food banks as such. Age Concern might also be able to help with advice.

I just can't wrap my head around the fact that she can't use her inheritance to take a holiday

I think she can use her inheritance to take a holiday. I just meant, once she is back on her pension, CTB and HB only she may not be able to afford to.

itsthelittlethings

viksviks84 said:

itsthelittlethings said:

State pension, housing benefit and council tax benefit adds up to an ok amount. She should be able to afford to live. She may not be taking any flights to visit you. If you want to support her research local organisations which support people on low incomes, sometimes there are food pantries which as not food banks as such. Age Concern might also be able to help with advice.

That might be so. But if they consider her to have a notional income of 25k, but she only has 9k, she won't be able to pay council tax, rent and bills. What will happen to her then? Will the government put her in sheltered accommodation if they think she has 16k hiding somewhere, which she doesn't have

Do you mean capital not notional income?

I presume you and your sister do not have the money to give back to her if the decision goes against her?

Muttleythefrog

viksviks84 said:

itsthelittlethings said:

State pension, housing benefit and council tax benefit adds up to an ok amount. She should be able to afford to live. She may not be taking any flights to visit you. If you want to support her research local organisations which support people on low incomes, sometimes there are food pantries which as not food banks as such. Age Concern might also be able to help with advice.

I just can't wrap my head around the fact that she can't use her inheritance to take a holiday

She can.... but it may be like other factors in this case subjectively looked into and determined not to be reasonable spending or reasonable repaying of a debt or a debt at all. There is a lot of subjectivity required to assess if there is DoC here except perhaps for gifts. Just so you understand the state's position... if someone has means to support themselves but chooses to blow their money so the state has to then support them then of course the state may determine they should be treated as if they hadn't blown the money.

Unfortunately often in cases like this... but usually they come in advance of actions... there is a lot of concern from the Op as how things will be interpreted.... and sometimes argument over how they should or what is fair... ultimately the decision makers are not here... subjectivity by its nature is difficult to assert on another who may be furnished with variance on the facts or evidence. 

As others advise... if worst came to worst and she found herself with income not fitting with her expenditure then this is a great site for advice... as someone raised... many communities have food larders... not food banks (which are something else).. where you can get lots of food very cheaply... we pay £2 twice a week for around £30-£60  worth of foodstuffs and most of it is from M&S lately or charitable collection of locally grown fruit and veg that would otherwise go to waste etc...lol. Lots of options including help with services bills etc. My fear is you and others seem to be erm... the buckstop for the subject of the thread... they seem to need a lot of financial guidance/support and some may say it's time for them to be more responsible....I mean I agree with above... a loan 15 years old is not a loan unless it was agreed never to be paid back within 15 years.. I think anyone reasonable would say the person has had no intent to pay it back and so it was more likely considered a gift by them. 

viksviks84

elsien said:

viksviks84 said:

itsthelittlethings said:

State pension, housing benefit and council tax benefit adds up to an ok amount. She should be able to afford to live. She may not be taking any flights to visit you. If you want to support her research local organisations which support people on low incomes, sometimes there are food pantries which as not food banks as such. Age Concern might also be able to help with advice.

I just can't wrap my head around the fact that she can't use her inheritance to take a holiday

She can take a holiday just not a ridiculously expensive one. 

However in terms of you saying you’ve loaned the money over 20 years – it’s not really a loan when she’s not managing day-to-day and it’s blindingly obvious you’re never going get the money back. If she hadn’t had the inheritance you probably had no expectation of any money back so I do think it’s on slightly dodgy ground calling it a loan now. 

I wouldn't say she couldn't manage on a daily basis. She could make ends meet, there might only be a few pound in the bank at the end of the month but she didn't need help every month. She needed help with larger expenses and car repairs. Maybe you don't realise how difficult it is to run a house as a single person on £1300 a month

viksviks84

itsthelittlethings said:

viksviks84 said:

itsthelittlethings said:

State pension, housing benefit and council tax benefit adds up to an ok amount. She should be able to afford to live. She may not be taking any flights to visit you. If you want to support her research local organisations which support people on low incomes, sometimes there are food pantries which as not food banks as such. Age Concern might also be able to help with advice.

I just can't wrap my head around the fact that she can't use her inheritance to take a holiday

I think she can use her inheritance to take a holiday. I just meant, once she is back on her pension, CTB and HB only she may not be able to afford to.

I totally agree with you there which is why I'm trying to save £100 a month as a travel fund for either her or me! 

viksviks84

itsthelittlethings said:

viksviks84 said:

itsthelittlethings said:

State pension, housing benefit and council tax benefit adds up to an ok amount. She should be able to afford to live. She may not be taking any flights to visit you. If you want to support her research local organisations which support people on low incomes, sometimes there are food pantries which as not food banks as such. Age Concern might also be able to help with advice.

That might be so. But if they consider her to have a notional income of 25k, but she only has 9k, she won't be able to pay council tax, rent and bills. What will happen to her then? Will the government put her in sheltered accommodation if they think she has 16k hiding somewhere, which she doesn't have

Do you mean capital not notional income?

I presume you and your sister do not have the money to give back to her if the decision goes against her?

No. I spent mine and I can't imagine why my aunt would give her the money back. Would a bank?

viksviks84

Muttleythefrog said:

viksviks84 said:

itsthelittlethings said:

State pension, housing benefit and council tax benefit adds up to an ok amount. She should be able to afford to live. She may not be taking any flights to visit you. If you want to support her research local organisations which support people on low incomes, sometimes there are food pantries which as not food banks as such. Age Concern might also be able to help with advice.

I just can't wrap my head around the fact that she can't use her inheritance to take a holiday

She can.... but it may be like other factors in this case subjectively looked into and determined not to be reasonable spending or reasonable repaying of a debt or a debt at all. There is a lot of subjectivity required to assess if there is DoC here except perhaps for gifts. Just so you understand the state's position... if someone has means to support themselves but chooses to blow their money so the state has to then support them then of course the state may determine they should be treated as if they hadn't blown the money.

Unfortunately often in cases like this... but usually they come in advance of actions... there is a lot of concern from the Op as how things will be interpreted.... and sometimes argument over how they should or what is fair... ultimately the decision makers are not here... subjectivity by its nature is difficult to assert on another who may be furnished with variance on the facts or evidence. 

As others advise... if worst came to worst and she found herself with income not fitting with her expenditure then this is a great site for advice... as someone raised... many communities have food larders... not food banks (which are something else).. where you can get lots of food very cheaply... we pay £2 twice a week for around £30-£60  worth of foodstuffs and most of it is from M&S lately or charitable collection of locally grown fruit and veg that would otherwise go to waste etc...lol. Lots of options including help with services bills etc. My fear is you and others seem to be erm... the buckstop for the subject of the thread... they seem to need a lot of financial guidance/support and some may say it's time for them to be more responsible....I mean I agree with above... a loan 15 years old is not a loan unless it was agreed never to be paid back within 15 years.. I think anyone reasonable would say the person has had no intent to pay it back and so it was more likely considered a gift by them. 

The loan from my aunt was documented to be repaid in full upon the settlement of their mothers estate. How can that not be a loan if the lender wants to be repaid