Has anyone successfully claimed SMI on universal credit?

[Thursdaywatchthewalls]

I only recently found out I could apply for this. I think maybe because I work I wasn’t eligible before. I’m not expecting anything to happen quickly because it took several months just for the forms to be sent out and there may be questions - mortgage is still in joint name with ex husband - but I think I am still eligible.

Would my mortgage company reduce my monthly payments by the amount DWP pays directly to them?

You know it’s a loan which attracts interest until it’s repaid?

Yes the mortgage company reduce the amount you need to pay each month by the amount the government pay them.

I don’t know if your ex still being on the mortgage makes a difference - he may have to agree as I believe it means the government put a lien on your house to secure the debt. Does he have an interest in the house still (i.e. when you sell, is he supposed to get some of the equity)?

Have you talked to your lender to see if you can reduce payments that way? Interest on SMI is currently around 3.5%, so if your mortgage is under that you’d probably be better off trying to get a payment holiday. If it’s over then SMI looks smarter. Both are only temporary solutions, though.

You need to try to find housing you can afford if you don’t think you’re going to find work for a few years, or you could end up a bit shafted (though appreciate choices are tight and everything feels a bit shafted when you don’t have enough money coming in).

I am aware its a loan, exH doesnt have an interest in the house and won’t have any problems. I can’t raise a mortgage on my own and rent would be double my mortgage repayments. (I am working but can’t afford housing - southeast).

i can’t figure how it will work when I need to remortgage but I might have no option than to move into whatever the standard variable rate is at that point anyway.

It’s not ideal but might do. Not many options.

Does this help?

https://www.citizensadvice.org.uk/benefits/support-for-mortgage-interest-smi/

Thank you. I have had a read around, but as hoping there might be some with practical experience that might indicate how straightforward- or not. They took several months to send me the forms and say they haven’t received the completed paperwork returned a couple of weeks ago - certainly can’t see anything happening quickly!