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Top Other benefits topic #515

Subject: "Funeral Grant - loan from relative" First topic | Last topic
carol obeirne
                              

welfare rights unit, cardiff council
Member since
20th Jul 2004

Funeral Grant - loan from relative
Thu 28-Jul-05 02:00 PM

A colleague is dealing with a client who applied for a funeral grant. The grant has been awarded but reduced because someone made a payment to the funeral director as a deposit.
The client first described him as a cousin but now says he is not a cousin but a member of her "tribe" (her words).
The person who paid the deposit has written a letter saying that he only intended the payment as a loan, not a contribution to teh cost of the funeral.
I think if the payment was a loan it does not count as a "contribution" (regulation 8). I'm less sure if the man should count as a relative of the applicant/desceased - I can't find a definition of "relative" but I'm assuming it is less strict than a "close relative". I suppose a looser concept of kinship could count.
Any ideas?

  

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nevip
                              

welfare rights adviser, sefton metropolitan borough council, liverpool.
Member since
22nd Jan 2004

RE: Funeral Grant - loan from relative
Fri 29-Jul-05 09:05 AM

Carol

As the word contribution is not defined then its ordinary meaning must be applied. The OED defines to contribute as to give. Therefore, a contribution is a gift. Thus a loan should not be caught by this.

See CIS 450/1995 which says that a genuine loan which is legally recoverable is not a contribution.

Regards
Paul

  

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