Reporting arrears of UC to UC
Just getting stuck into this one, so still a lot of the detail to establish.
Appears that in March 2019 client received £4k underpayment of UC. This tipped capital over total over £16k. Client phoned UC helpline and told not to worry because of capital disregard of 12 months for arrears payments of sub £5k.
May 2020 client contact our service. Wondering what to do as capital is still over £16k and UC have not been in contact. She contacts and claim is now suspended.
I agree she has no entitlement currently as capital is over £16k and no relevant disregards apply.
Case Manager has suggested that over payment will go back to March 2019. I think this is clearly changeable because of the 12 month disregard rule.
My question is, when the 12 month disregard is up, do UC have some sort of alarm that goes off to prompt the case manager?
Also i assume because the bureaucracy of Universal Credit that in March 2019 when the arrears where paid that UC would have had an expectation that you read the letter on your journal issuing the arrears and then went to a different part of the screen and reported this as a change of circumstance? It far from safe to assume that just because UC paid you £4k in capital that they would assume you have that capital the next day?