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ESA contribution based spending savings

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5 years 11 months ago #210860 by Cornish Pasty
ESA contribution based spending savings was created by Cornish Pasty
I am on contribution based ESA because I have savings of £26,000. I plan on spending my savings and going back on Income Based ESA.

I was wondering if there were restrictions on what you can spend the savings in order to go back on Income Based ESA?

For example, could I donate it all to a family member or would buying a car or house be acceptable?

Is there a link to any more information on this? I cant find anything.

Thanks.

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5 years 11 months ago #210906 by Gordon
Replied by Gordon on topic ESA contribution based spending savings
Cornish Pasty

There are defined rules at the extreme of your spending but the criteria is not so well defined for general spending and is at the discretion of a Decision Maker.

So I can say that giving your money to relatives will be definitely be treated as Deprivation of Capital as will the early payment of any loans, buying a car should not be an issue nor should buying a house providing you intend to live in it. Buying televisions and other expensive items may not be an issue unless it is seen as a pattern to reduce your savings. Keep receipts for any items you purchase.

Gordon

Nothing on this board constitutes legal advice - always consult a professional about specific problems

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