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What are we each entitled to in our divorce settlement?

What does the law say about how to split the house, how to share pensions and other assets, and how much maintenance is payable.

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The four basic steps to reaching an agreement on divorce finances are: disclosure, getting advice, negotiating and implementing a Consent Order.

What is a Consent Order and why do we need one?

A Consent Order is a legally binding document that finalises a divorcing couple's agreement on property, pensions and other assets.


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Housing benefit after a lump sum

  • Lena3
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25 Aug 13 #405489 by Lena3
Topic started by Lena3
Hi there,
Could you please advise if I can continue claiming housing benefit after an agreed lump sum at FDR.

Thank you!

  • u6c00
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25 Aug 13 #405490 by u6c00
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Once the lump sum is in your account you will be obliged to tell your local authority that you have received it and it may disqualify you from means-tested benefits. You should also tell DWP if you receive any other benefits like ESA or JSA etc. There will also be HMRC to inform if you receive tax credits.

You shouldn''t need to inform them that a sum has been agreed, only when you have received it.

If memory serves if you have savings of £16000 or more then you cannot receive any means tested benefits including housing benefit. According to this site if you have savings of higher than £6000 (or £10000 if you''re over 60) your entitlement may be reduced.

EDITED to add lower savings threshold information.

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25 Aug 13 #405493 by Lena3
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Thank you. I have no savings. If I intend to use this money towards the deposit for buying a property, how can it effect the tax credits of a lone parent? Thank you.lena

  • LittleMrMike
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25 Aug 13 #405499 by LittleMrMike
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The value of your home is normally not considered to be capital and should not county against you.

LMM

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25 Aug 13 #405500 by Lena3
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Thank you so much LLM. I also thought it would not effect my child and working tax credits if the lump sum is for the deposit for a mortgage.
You''ve relieved me, was panicking as the lump sum is only 30k, and with the tax credits reduced, we would not survive. Kind regards.lena

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26 Aug 13 #405542 by LittleMrMike
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To clarify, capital is not counted against you if it is tied up in a home occupied by yourself and certain other relatives.

If it''s money in the bank, then I think it counts even if it is your intention to use it to buy a house.

Otherwise of course anyone could say he intended to buy a house with the money inthe bank.

So the message is - don''t hang around !

Good luck

LMM

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26 Aug 13 #405545 by Lena3
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Dear LMM.Thank you. Can I ask his solicitor to keep the money and then release funds after I have actually found the property.Or what would be best.
Thanks,lena

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