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Original poster

To use benefits to put down a deposit for a house

435 replies

Bringinglightandpeace · 28/01/2022 14:08

Hello all,

This thread is not about me.

I have a friend who is feeling incredibly guilty. This is how it goes... so she applied for benefits, she has children and a husband,,, well technically partner but anyway she received a huge backlog of benefits. She confided in me that she would like to use the money to to put down a deposit for a help to buy scheme or shared ownership. I told her "well you have to use every opportunity that you can get" but in my conscience, I was thinking, is this right? I am on benefits myself so not judging at all. She feels a bit down about it as it's not her hard on money that she used to put a deposit down..but then again some parents give their children money for a deposit... so I guess it's similar.

However, I feel a bit of itch and thought to myself that I don't think what she is doing is right. But then again, I don't want to come across as jealous. What do you all think?

OP posts:
BeQuietBrenda · 28/01/2022 14:30

That's unusual, DWP are not known for handing out back pay and if they do there's usually a 6 week cut off.

RoyKentsChestHair · 28/01/2022 14:30

I said it in my OP that he lives with her.

Single people aren’t the only ones entitled to financial support you know. Saying that he lives with her is one thing. Saying she hasn’t declared that he lives with her is completely another.

SleepingStandingUp · 28/01/2022 14:30

She feels like she doesn't deserve it because if her situation. She hasn't told the council that her husband is living with her but wants him to pay off all his debts.

Massive drip feed.

My friend is committing benefit fraud. Is she unreasonable to spend the money she fraudulently claimed in a house?

HollowTalk · 28/01/2022 14:31

It's obviously fraud. She'd do much better taking this chance to separate herself from him and claim the money honestly.

Does she earn enough to apply for a mortgage? It's not just whether she could pay the monthly sum (it's usually less than rent) but whether she has the right annual income.

GirlInACountrySong · 28/01/2022 14:31

They will be caught sooner or later

How will she continue to claim benefits as a single parent when he 'buys' a house?

Original poster
Bringinglightandpeace · 28/01/2022 14:32

@McScreamysGhostPants

I use my adult sons PIP to pay for the mortgage on the flat we bought for him to live in. It's only around the corner. He's an adult with ASD , he DESPERATELY washed independence but realistically can never live alive. So we bought a little two bed flat for him and he has a room mate that basically stays for free in exchange for helping him out and keeping an eye on things. Works perfectly for us asi see him every day, he feels like a proper adult and it saves adult social care a fortune in carers fees etc.
That's amazing.

I am In no way saying that she should not do what she pleases with her benefits. I would do the same and told her that she should take any opportunity that she gets. But I was a bit miffed about her situation anyhow and this recent news topped it off. I wasn't too sure if I should keep my mouth shut or tell her how I feel.

OP posts:
MsAgnesDiPesto · 28/01/2022 14:33

So she’s committed benefit fraud to get a big sum to use as a deposit, and her partner who has masses of debt will then get a mortgage?

All sounds very fishy and I’d stay well out of it. If they do buy a house and then she is found out in her fraud, how will they pay it back, plus any fines due?

Original poster
Bringinglightandpeace · 28/01/2022 14:34

@RoyKentsChestHair

I said it in my OP that he lives with her.

Single people aren’t the only ones entitled to financial support you know. Saying that he lives with her is one thing. Saying she hasn’t declared that he lives with her is completely another.

Oh right. Ok. I didn't know that. I don't have a partner and have never had anyone live with me so I'm not very knowledgeable about the rules for cohabitants.
OP posts:
needmoreshinys · 28/01/2022 14:34

Did she apply for PIP?

BillMasen · 28/01/2022 14:35

Ok so the massive drip changes the question from “should someone use benefits to pay a house deposit”, clearly yes

To “should someone commit benefit fraud to illegally obtain a house deposit. Clearly no

BrieAndChilli · 28/01/2022 14:35

1- money was obtained fraudently and in mu opinion karma always come calling at some point
2- if he has lots of debt he probably wont be able to get a mortgage and she and the kids will affect his affordability as will be classed as dependants
2- once she is no longer renting she will no longer get housing benefit - will they be able to afford the mortgage with no housing benefit coming in and all his debts?

Original poster
Bringinglightandpeace · 28/01/2022 14:35

@HollowTalk

It's obviously fraud. She'd do much better taking this chance to separate herself from him and claim the money honestly.

Does she earn enough to apply for a mortgage? It's not just whether she could pay the monthly sum (it's usually less than rent) but whether she has the right annual income.

She does not work but is planning to get a full time job to pay for the mortgage. Once they have both saved up enough for a deposit (they are a little short) she will declare to benefits that she no longer wants access to it and her and her partner will pay for everything etc.
OP posts:
funinthesun19 · 28/01/2022 14:35

She’s entitled to the money therefore it’s hers to do with as she pleases. Hopefully it will get her in to a better position in the future.
I’ve been saving up for a car, which will open up more opportunities (jobs as well as leisure) for me in the future.

Lougle · 28/01/2022 14:36

It's fraud. Her husband lives with her and she hasn't declared it.

Also, once you have £16000 in savings you're not entitled to means tested benefits, so she needs to declare the savings.

Original poster
Bringinglightandpeace · 28/01/2022 14:36

@needmoreshinys

Did she apply for PIP?
Yes. I didn't want to say much. But yes it's that. Which is fine! But it had a knock on effect in another benefit.
OP posts:
MogsBestestFurball · 28/01/2022 14:38

The benefits system is not how it used to be... people struggle to survive on benefits... I'm very skeptical that anyone could claim in this way and get anywhere near enough for a house deposit. What's your motivation for posting this OP?

HollowTalk · 28/01/2022 14:38

It's not so easy to just get a full time job which pays enough to get a mortgage, though. And I doubt she'd make that call to say she no longer needs the money.

I think you want to dob her in, don't you?

Original poster
Bringinglightandpeace · 28/01/2022 14:38

@BrieAndChilli

1- money was obtained fraudently and in mu opinion karma always come calling at some point 2- if he has lots of debt he probably wont be able to get a mortgage and she and the kids will affect his affordability as will be classed as dependants 2- once she is no longer renting she will no longer get housing benefit - will they be able to afford the mortgage with no housing benefit coming in and all his debts?
They are hoping to clear off her husbands debts in a matter of months, then she will get a full time job and then they will move and both will pay for the mortgage on their salaries.
OP posts:
girlmom21 · 28/01/2022 14:39

A mortgage company won't give her a mortgage if she has no means to pay it and they'll see the payout was claimed fraudulently.

MsAgnesDiPesto · 28/01/2022 14:40

She does not work but is planning to get a full time job to pay for the mortgage. Once they have both saved up enough for a deposit (they are a little short) she will declare to benefits that she no longer wants access to it and her and her partner will pay for everything etc.

Oh, even better - so she is capable of full time work but at present doesn’t work at all but relies on fraudulently granted benefits. I’m surprised you need to ask us how you should feel about it in that case.

I’m surprised you need to ask us how you should feel about it.

Blossomtoes · 28/01/2022 14:40

Asking for a friend? Really? It’s dishonest and fraudulent.

Original poster
Bringinglightandpeace · 28/01/2022 14:40

@HollowTalk

It's not so easy to just get a full time job which pays enough to get a mortgage, though. And I doubt she'd make that call to say she no longer needs the money.

I think you want to dob her in, don't you?

No I don't Confused. They are many people who do this. I would never ever report her never. I don't know if I should keep my mouth shut or tell her how I feel about the situation.
OP posts:
Santahasjoinedww · 28/01/2022 14:41

She is claiming benefits which should be made as a joint claim. She isn't a single person.. She could get into serious trouble..
The backdated benefits are hers unless she wouldn't be entitled to them if they knew she was married.. They will find out. And likely have to repay. Paying a mortgage may make that difficult
When they do any checks they will find out she has a dh.. Keep out of it and let it pan out as it will.

Original poster
Bringinglightandpeace · 28/01/2022 14:41

@MsAgnesDiPesto

She does not work but is planning to get a full time job to pay for the mortgage. Once they have both saved up enough for a deposit (they are a little short) she will declare to benefits that she no longer wants access to it and her and her partner will pay for everything etc.

Oh, even better - so she is capable of full time work but at present doesn’t work at all but relies on fraudulently granted benefits. I’m surprised you need to ask us how you should feel about it in that case.

I’m surprised you need to ask us how you should feel about it.

She just had a baby and cannot afford childcare..., she cannot get a full time job right now. She needs the job first.
OP posts:
StrawberryPot · 28/01/2022 14:41

She feels a bit down about it as it's not her hard on money that she used to put a deposit down..but then again some parents give their children money for a deposit... so I guess it's similar.

How? Confused