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Means-tested benefits and loans
- MariW
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2 years 6 months ago #272115 by MariW
Means-tested benefits and loans was created by MariW
Dear Mods,
I am going through a very difficult financial period that I anticipate will not ease for the next eighteen months or so. I have savings below the £6,000 limit for IR ESA. This money will not last much longer.
Two people have generously offered me interest-free loans should things become impossible. How might this affect my payments?
1. Would a loan that took my bank balance over £6,000 reduce payments?
2. Would a loan that took my balance to over £16,000 render me ineligible to claim means-tested benefits?
The proposed loans are just that—not gifts.
Thanks for any advice.
Mari W
I am going through a very difficult financial period that I anticipate will not ease for the next eighteen months or so. I have savings below the £6,000 limit for IR ESA. This money will not last much longer.
Two people have generously offered me interest-free loans should things become impossible. How might this affect my payments?
1. Would a loan that took my bank balance over £6,000 reduce payments?
2. Would a loan that took my balance to over £16,000 render me ineligible to claim means-tested benefits?
The proposed loans are just that—not gifts.
Thanks for any advice.
Mari W
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- Gary
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2 years 6 months ago #272137 by Gary
Nothing on this board constitutes legal advice - always consult a professional about specific problems
Replied by Gary on topic Means-tested benefits and loans
Hi MariW
If you take out a loan it could be classed as capital and may affect any means tested benefits.
You do need to seek advice from your local Welfare Rights Organisation, who will be able to take all your details into consideration; you can find your local Welfare Rights Organisation to help you with advice by clicking on the link below and putting in your post code, it will then come up with a MAP with a list of agencies. advicelocal.uk
Gary
If you take out a loan it could be classed as capital and may affect any means tested benefits.
You do need to seek advice from your local Welfare Rights Organisation, who will be able to take all your details into consideration; you can find your local Welfare Rights Organisation to help you with advice by clicking on the link below and putting in your post code, it will then come up with a MAP with a list of agencies. advicelocal.uk
Gary
Nothing on this board constitutes legal advice - always consult a professional about specific problems
The following user(s) said Thank You: MariW
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- Angel
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2 years 6 months ago #272418 by Angel
Replied by Angel on topic Means-tested benefits and loans
Martin Lewis’ site has lots of useful information. I would personally not actively seek debt. Interest rates are going to rise, and the next couple of years are going to be tough for a lot of people.
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