Need advice on wtc and tax credits

[Jud178]

When I divorced my partner a few years ago we sold the house and I received a lump sum. As I was on a low wage with two dependants I was unable to put the money back into a mortgage. Therefore I put in a stocks and shares isa and forgot about it. I also had a small isa in my local bank which I've left alone.
I've always been worried that I am not entitled to my tax and working tax credits because of having these savings. Even though I have trawled the internet and it does say that you don't have to declare savings in tax free isa's , and tax credits are not means tested and you are allowed to have savings. Can anyone clarify this for me please.

Tax credits are based on taxable income. Only taxable interest from savings are taken into account, the capital is ignored. I've read the manual that they work from.

With tax credits you need to just declare any interest you earn over £300 a year I think. It tells you on the renewal form I think that you need to do that.
If you claim other means tested benefits such as housing benefit then you need to declare all savings as it will affect the amount you receive.
With Universal credits if you have savings over 16k then you will not be able to apply for Universal credit. savings between 6k and 16k and your amount will be reduced.
Everyone will be switched to UC as some point but if you are switched from tax credits you may have some protection from the UC savings rules I think.

Thank you for your advice, so the interest/growth in any isa is not taxable so it doesn't matter if it's above 300, and they don't need to know about the actual capital? When interest rates were higher I did manage to make over the 300 and I declared that on the form. Who can I actually talk to on the phone or face to face to confirm this. It does worry me when I read stories about benefit frauds, as the info I have read leads me to believe I'm allowed to have any amount of savings when claiming working tax credit and child tax credit. I realise this will change with the uc but by then the children will be old enough for me to work more hours and hopefully find a better paid job.

I think interest on an ISA would still need to be declared if over £300 a year. You can ring HMRC to clarify.