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Original poster

Universal credit and savings

22 replies

meeeandeden · 14/09/2021 10:23

Hello, I am wondering if anyone can help me. So we are struggling a little bit financially and have another baby on the way.
I have done a calculation and we could get around £400 a month to help us which would be amazing for the time being. I do not intend to claim for a long time.
But I have a help to buy Isa with some money in, which I can no longer afford to put anything else in due to going on maternity etc. My son also have some money in his savings account.
I'm wondering if we claim does that go against us? Because obviously I'm not going to use my sons money to pay my bills. And I would prefer not to use the money I have saved in my help to buy ISA if I can help it. Thank you

OP posts:
backaftera2yearbreak · 14/09/2021 10:26

Anything over £6000 May effect your claim. Savings of 16k or over usually means your not entitled. Read here. www.moneyhelper.org.uk/en/savings/types-of-savings/help-to-save-explained

Needanewadventure2021 · 14/09/2021 10:39

Can child savings (an account set up in a child's name and cannot be accessed) be taken into account when claiming any type of benefits?

1990b · 14/09/2021 10:52

@Needanewadventure2021

Can child savings (an account set up in a child's name and cannot be accessed) be taken into account when claiming any type of benefits?
No. But it needs to be in the child's name and you can't have access to it.
1990b · 14/09/2021 10:57

Your ISA will be taken into account if there is more than 6000.

Your sounds account will not be, as long it is in his name only.

wedwewerpink · 14/09/2021 10:59

I think it depends on your savings amount OP.

RedHelenB · 14/09/2021 11:20

@1990b

Your ISA will be taken into account if there is more than 6000.

Your sounds account will not be, as long it is in his name only.

If you are the trustee of his savings account they used to disregard the first £3000 . If its in an ISA that you can't touch they won't count that.
Original poster
meeeandeden · 14/09/2021 14:12

So my ISA has less than 6k but my sons account doesn't. Is there a number I could call to find out more does anyone know please x

OP posts:
backaftera2yearbreak · 14/09/2021 14:17

Is your sons account in his name?

Marcee · 14/09/2021 14:19

@meeeandeden

So my ISA has less than 6k but my sons account doesn't. Is there a number I could call to find out more does anyone know please x
Your sons account.

If it's a savings account it will be taken into account. Only if it's an ISA or a different account that cant be accessed u til he is over 18 will it be disregarded

Marcee · 14/09/2021 14:20

Money advice service
Citizen advice bureau?

Babyroobs · 14/09/2021 14:23

It depends whether you ahve access to your son's savings. If it a child ISA that he can't access until he's 18 then no. If it's an account in your name that yo could draw form then yes it will affect UC if over 6k but for anything over 6k it is only a small deduction on the amount of UC you would receive. $4.35 is deducted per month for each £250 over 6k.

Original poster
meeeandeden · 14/09/2021 14:55

Spoke to CA . You can claim if you have less than 6k and children's savings does not come into account. So that's good. Can I also ask does anyone know if you can still get 30 hours free childcare if claiming UC and working less than 16 hours a week

OP posts:
Babyroobs · 14/09/2021 18:05

@meeeandeden

Spoke to CA . You can claim if you have less than 6k and children's savings does not come into account. So that's good. Can I also ask does anyone know if you can still get 30 hours free childcare if claiming UC and working less than 16 hours a week
it depend whose name the savings are in.
Original poster
meeeandeden · 14/09/2021 19:14

@Babyroobs no citizens advice said it doesn't matter as long as it's a children's savings account they can't do anything but not effected if less than 6k in there anywya

OP posts:
LakieLady · 16/09/2021 18:31

There's no minimum working hours requirement for help with childcare costs under UC.

Original poster
meeeandeden · 16/09/2021 19:02

@LakieLady no but to be eligible for 30 free hours you need to be working 16 hours a week.

OP posts:
8dayweek · 16/09/2021 22:22

I'm pretty sure UC doesn't necessarily come into the 30hrs of Childcare thing and it's all based on Wage (IIRC you need to Earn min. of NMW x 16 per week, but less than 100k per annum). I'd take a look at Childcare Choices or your Local Authorities website (usually under Family Information Service or Early Years).

MyDcAreMarvel · 17/09/2021 19:42

@1990b But it needs to be in the child's name and you can't have access to it. it’s a common myth that you can’t have access to it, you can.

MyDcAreMarvel · 17/09/2021 19:43

@Marcee Your sons account.

If it's a savings account it will be taken into account. Only if it's an ISA or a different account that cant be accessed u til he is over 18 will it be disregarded
Again, complete myth.

Needanewadventure2021 · 17/09/2021 21:39

Can I just clarify, my son has a savings account however it is not in an ISA. It has never been touched and I have no intention of doing so until he reaches 18. It is in his name. Should it be in an ISA?

kaMeloo · 20/09/2021 02:57

@Needanewadventure2021

Can I just clarify, my son has a savings account however it is not in an ISA. It has never been touched and I have no intention of doing so until he reaches 18. It is in his name. Should it be in an ISA?
It's a question that no one on here can answer with any authority. The certainties are: In a JISA then it definitely won't be taken into account as it's not accessible by anyone. In a savings account in your name then it will.

In a savings account in your childs name with you as trustee then possibly.
For example, small regular deposits with maybe larger ones around birthdays/Christmas, the typical type of deposits into a childs savings accounts then it's highly unlikely they would take any interest in it.
If however there were one off or repeatedly large deposits taking the balance to more than £6000 then the decision maker may or may take an interest and ask a few questions. Ultimately it's down to a decision maker, no one else.

If it is genuinely the childs money put it in a JISA and exclude any possiblility, they offer the best rates anyway.

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