Capital

96yr old Client has dementia and on admission to long term care a five figure sum of bank notes was discovered in a draw.  This coupled with known exisiting capital/income will almost certainly mean he will no longer qualify for PC/HB- if an overpayment is determined by DWP/LA are there any ways that the capital could not be seen as being possessed by claimant or disregarded?

Monies had been there since early seventies and as far as I can gather have not been invested or used to accrue interest,

Thanks in advance,

Toby

Monies had been there since early seventies and as far as I can gather have not been invested or used to accrue interest,

Thanks in advance,

Toby

Is the money actually any good?

The bank notes of the seventies are probably worth nothing more than the paper they’re printed on

Yes monies have been accepted as legal tender by a bank,

Toby

http://www.bankofengland.co.uk/banknotes/about/exchanges.htm

Well you learn something every day.

On the face of it, I can’t see any means by which the capital shouldn’t be taken into account.

However, if there is an overpayment, a “diminution of capital” calcuation MUST be undertaken for the whole of the period covered by the overpayment.

TJL - 28 June 2010 12:45 PM

96yr old Client has dementia and on admission to long term care a five figure sum of bank notes was discovered in a draw.  This coupled with known exisiting capital/income will almost certainly mean he will no longer qualify for PC/HB- if an overpayment is determined by DWP/LA are there any ways that the capital could not be seen as being possessed by claimant or disregarded?

Monies had been there since early seventies and as far as I can gather have not been invested or used to accrue interest,

Thanks in advance,

Toby

Agree that there doesn’t seem to be anyway around the money being included as capital. If it is included and there is an overpayment you could ask them to consider using their discretion in light of the claimants circumstances not to recover the overpayment. All overpayments and the recovery of are supposed to be looked at on an individual basis

If they insist on seeking recovery of the overpayment, is there anything to stop your client paying the overpayment back in full (rather than ongoing weekly recovery) from the money that has been discovered? This would then reduce the capital and could then mean that they may be eligible again?

John - 28 June 2010 03:30 PM

... is there anything to stop your client paying the overpayment back in full (rather than ongoing weekly recovery) from the money that has been discovered? This would then reduce the capital and could then mean that they may be eligible again?

This may be a sensible and practical way forward as it could (hopefully) maintain the status quo?

What you don’t have you don’t miss as it were?

SimonMee - 29 June 2010 12:42 PM

There is also the potential that should the client repay the overpayments in full, that deprivation of capital could be considered by the Adult Social Care Department.

but surely the overpayments would be a debt that has to be repaid?  that sort of rock/hard place scenario can’t be right….surley?

SimonMee - 30 June 2010 10:48 AM

Stinks dunnit

 

yup.