Active discussions

Meet the Other Phone. Only the apps you allow.

Meet the Other Phone.
Only the apps you allow.

Buy now

Please or to access all these features

Talk
Chat

Join the discussion and chat with other Mumsnetters about everyday life, relationships and parenting.

Original poster

Is this benefit fraud?

262 replies

Gingerangel · 06/12/2022 15:57

Just found out a friend of mine who is about to come into a large sum of money is intending to hide this money in a relatives bank account and not declare it to the DWP and have her relative just give her the cash as and when she asks for it. She’s doing this to hide it from the benefits people…

I was worried about her and told her that I think she might get into trouble doing this however she’s insisting on going ahead with this and thinks the DWP won’t notice anything is amiss. Is this benefit fraud? Can she get into trouble? And has anyone else done something like this and got away with it?

OP posts:
QueenConsort · 06/12/2022 15:59

As long as it avoids her account completely be okay, ie she can't have it put in there and then move it out.

gamerchick · 06/12/2022 16:00

That's a lot of trust to put in someone.

terriblyangryattimes · 06/12/2022 16:00

Yes it's fraud, wether the money arrives in her account or not.

Interested in this thread?

Then you might like threads about this subject:

Benefits
DenholmElliot11 · 06/12/2022 16:01

Yes it is benefit fraud.

Is the money being paid direct into her relatives account then? Thats odd that someone would agree to do that.

QueenConsort · 06/12/2022 16:01

It's deliberately depriving yourself of assets so technically yes but no idea how they would know.

AgentProvocateur · 06/12/2022 16:03

Of course it’s benefit fraud.

SummerInSun · 06/12/2022 16:06

If by "come into a large sum of money" you mean inherent, there is a record of that - the person's will. If she means she's won some money on a scratch card, then probably it won't ever be traced to her. But she is putting a lot of trust in this friend who is holding the money.

And since she seems to be telling all and sundry, seems quite likely someone may report her.

ThreeFeetTall · 06/12/2022 16:06

Yes is fraud.
I know a family where this happened and the adult child went off with the money- big family feud!

There's things you can use the money for that wouldn't be fraud- paying for essential house repairs, paying off debt etc

Monmouthy · 06/12/2022 16:09

Did she actually tell you this? Be very careful if it's hearsay.

shiningstar2 · 06/12/2022 16:10

I would think it would depend how much this large sum of money is. I believe there is a certain allowance of savings allowed before benefits get cut. Also if this money is in someone else's account I can't see how there is any legal evidence that the money is hers.
Mind you if this money is in someone else's account she has no proof that the money is hers if her friend decides to do a runner with it so a bit of a risk for her 🤔

StickyCricket · 06/12/2022 16:10

I have a family member who has done this and nobody is any the wiser.

Loachworks · 06/12/2022 16:11

Your friend is far too trusting. At least two people know she's committing fraud. If the account holder decides to keep the money what will she do? She can't report it. I also suspect there'll be a paper trail with it being an inheritance.

misssunshine4040 · 06/12/2022 16:12

Gingerangel · 06/12/2022 15:57

Just found out a friend of mine who is about to come into a large sum of money is intending to hide this money in a relatives bank account and not declare it to the DWP and have her relative just give her the cash as and when she asks for it. She’s doing this to hide it from the benefits people…

I was worried about her and told her that I think she might get into trouble doing this however she’s insisting on going ahead with this and thinks the DWP won’t notice anything is amiss. Is this benefit fraud? Can she get into trouble? And has anyone else done something like this and got away with it?

Technically yes as it's not declared income.
How they will prove it is another matter.
If she is only getting in cash from the other person then how will they find out?
Different if she suddenly buys a house etc but again they would need to be aware of a change of circumstances.

StaceySolomonSwash · 06/12/2022 16:12

What could possibly go wrong! 🙄

palygold · 06/12/2022 16:13

If she has such a large sum of money why would she want to do this?

ThreeFeetTall · 06/12/2022 16:15

palygold · 06/12/2022 16:13

If she has such a large sum of money why would she want to do this?

If the duke of Westminster inherited a lot of money why would he not want to pay the full amount of inheritance tax?

Original poster
Gingerangel · 06/12/2022 16:18

Well I don’t know if there will be any paper trail. Her ex husband is selling a house they both own, and he is paying half the amount made from the sale into her brothers bank account. It’s a large sum of money.

Does anyone know if she would get into trouble if DWP found out? Is she breaking the law if it’s never actually been in her account. I know people can get into lots of trouble with benefits fraud like prison even. She has 2 children so this would be a terrible outcome. She’s my best friend but she has stupidly told a few other people 🙄… She is very trusting

OP posts:
girlmom21 · 06/12/2022 16:19

How did you find out?

girlmom21 · 06/12/2022 16:20

Sorry, cross post.
Yeah that sounds like a dangerous game to play.

wintertime9 · 06/12/2022 16:21

I'd report her

Waiteflower · 06/12/2022 16:22

It is benefit fraud however if it went straight into her brothers account they wouldn't know BUT she's telling people who may report her and they'll investigate and it'll be quite obvious what's going on and she will get into trouble if they find out.

BMW6 · 06/12/2022 16:22

Of course it's fraud.

If she goes ahead with it I really hope she gets caught, as I wish for everyone who defraud the Public Purse from ALL walks of life.

Personally I think MP's and Public Servants who defraud should get a prison sentence automatically as well as fines etc, as they are also abusing positions of trust as well as stealing.

LisaJool · 06/12/2022 16:22

Was her name specifically mentioned in the will and the executor is doing a deed of variation to avoid it going directly to her? If so that is intentional deprivation of assetsfor the intention of committing fraud. These records are public and could be flagged up. I'd say unless someone informed DWP aren't that likely to find out.

sausagepastapot · 06/12/2022 16:22

What benefit does she claim? Not all benefits are means tested.

Imnotswallowingthat · 06/12/2022 16:22

Your friend should read the rules on Deprivation of Capital....

A person is to be treated as possessing capital of which the person has deprived themselves for the purpose of securing entitlement to universal credit or to an increased amount of universal credit. Deprivation of capital rules mean that you can be treated as having capital you chose not to accept or you no longer have in order to make you eligible for, or increase an award for, Universal Credit.