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Is it legal for someone to claim housing benefit when the house they are living in is owned by their parents?
Housing Benefit
- Thread starter The Mad Rapper
- Start date
I'm going to take a wild stab in the dark and say no.
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Caporegime
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aslong as there are offical things like tenancy agreement detailing how much rent a week/a month and what those cost cover if thats including bills and stuff liek that and what rooms they have aceess to and things then it is perfectly legal.
Nope,
It's not a case of legal\illegal it's a case of what regulations allow and what they don't. They don't allow this, it has no commercial basis i.e. if you stopped paying they are unlikely to make you homeless.
You can try it, but if they catch you theyll say no, and if they catch you later they'll demand repayment. Remember that councils don't have access to large government databses as easily and therefore are unlikely to realise if you have different surnames etc. But that doesn't make it okay obviously.
The reason they don't allow it is that you can collude to defraud the council. Get a cheap flat and then charge the council maximum allowable rent.
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erm well then it is illegal as to do it would amount to benefit fraud
Just out of interest.
I'm going to have to apply for a few houses in my name this week. Don't know what i'm doing really. ATM my last two wage slips show my monthly income at £870ish. Is this enough for them to let me rent? How is it all worked out?
It will be me, my parents, and my brother. We have 1 months to get out our current home (been here 24yrs
) and got told by council my parents have no chance to rent as they have been to court etc. So may have to be in my name as my credit history is the only good one in the family (no missed payments ever, im good with money)
Any info from people in my position would be helpfull, scary times indeed
I'm going to have to apply for a few houses in my name this week. Don't know what i'm doing really. ATM my last two wage slips show my monthly income at £870ish. Is this enough for them to let me rent? How is it all worked out?
It will be me, my parents, and my brother. We have 1 months to get out our current home (been here 24yrs
) and got told by council my parents have no chance to rent as they have been to court etc. So may have to be in my name as my credit history is the only good one in the family (no missed payments ever, im good with money)Any info from people in my position would be helpfull, scary times indeed
http://www.entitledto.co.uk/
Enter the correct info and it will give exactly what you are entitled to in benefits.
For Camalot you will be entitled to live in a 3 bedroom house in your area. They will have a maximum rate for 3 bedroom houses which they give for called a local housing allowance. Then they will calculate a minimum maintenance cost for your family. Then they will deduct this minimum cost from your wage and offset the allowance by whatever is left.
If your household has 16k in savings then you are not entitled to any housing benefits. But if you have £15,999 then you are entitled to it but they will take the £15,999 and assume that every £250 above £3000 is equivalent to £1 in weekly income and add it onto your wage. They then make the same calculations as above paragraph.
note: They also add any other benefits (except for working tax credit) your family is recieving when calculating housing benefit.
edit:
Just to add, that not only is the massive £16k discontinuity stupid, the withdrawal rates are far to high. For every extra pound you earn, you will lose working tax credit, (child tax credit if you have children), 50p in housing benefit and 20p in council tax benefit. Working tax credit and child tax credit have sensible withdrawal rates but housing benefit and council tax benefit doesn't. The benefit system is too ad hoc.
Enter the correct info and it will give exactly what you are entitled to in benefits.
For Camalot you will be entitled to live in a 3 bedroom house in your area. They will have a maximum rate for 3 bedroom houses which they give for called a local housing allowance. Then they will calculate a minimum maintenance cost for your family. Then they will deduct this minimum cost from your wage and offset the allowance by whatever is left.
If your household has 16k in savings then you are not entitled to any housing benefits. But if you have £15,999 then you are entitled to it but they will take the £15,999 and assume that every £250 above £3000 is equivalent to £1 in weekly income and add it onto your wage. They then make the same calculations as above paragraph.
note: They also add any other benefits (except for working tax credit) your family is recieving when calculating housing benefit.
edit:
Just to add, that not only is the massive £16k discontinuity stupid, the withdrawal rates are far to high. For every extra pound you earn, you will lose working tax credit, (child tax credit if you have children), 50p in housing benefit and 20p in council tax benefit. Working tax credit and child tax credit have sensible withdrawal rates but housing benefit and council tax benefit doesn't. The benefit system is too ad hoc.
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Do you mean the council would give us a place before our eviction date? They basically told us we have no chance what so ever with them.
Renting is the only option we got told, on top of that they said my parents had no chance to rent as they have CCJ (?) court thing on their credit file. All finger point to me to get a house to rent.
Just not sure if i earn enough to go down and rent somewhere. I mean, would they let me rent somewhere thats £500/£550 a month with an £800 PM income? Obviously the rent would be split 3-4 ways but not sure how it works.
Renting is the only option we got told, on top of that they said my parents had no chance to rent as they have CCJ (?) court thing on their credit file. All finger point to me to get a house to rent.
Just not sure if i earn enough to go down and rent somewhere. I mean, would they let me rent somewhere thats £500/£550 a month with an £800 PM income? Obviously the rent would be split 3-4 ways but not sure how it works.
Yeh, you rent privately and then the council will give money towards rent. Race has nothing to do with local housing allowance. (And it doesnt have anything to do with council housing, although some believe otherwise).
edit: Camalot if you give me (trust) the area i.e. council, I can tell you how much you'd get based on an income of £870 a month towards housing.
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Do they give a limit on the monthly cost of a house i can rent? Will they not take into account that there will be 3-4 people all contributing towards the rent or will they just look at my income and say "no sorry".
If that happens, i don't know where i will be in 4weeks.
Anyone else recieving job seekers allowance or pensions?
Yes there is a limit based on rental guidelines in your area. If you are not named as the first adult, then they will limit your contribution.