money in bank belonging to another person

my father in law has come from abroad to the uk on holiday to visit his daughter who is my wife he is also planning to buy a car here and plans to transfer some funds in my sons bank account which i am trustee for i would like to know is this allowed if you are claiming income support the sum will be about 20,000 pounds

do i have to inform income support ?

will my benefit entitlement be cut ?

saud wrote:

my father in law has come from abroad to the uk on holiday to visit his daughter who is my wife he is also planning to buy a car here and plans to transfer some funds in my sons bank account which i am trustee for i would like to know is this allowed if you are claiming income support the sum will be about 20,000 pounds

do i have to inform income support ?

will my benefit entitlement be cut ?

It will be dependent on whether your son is a dependant, ie whether Child Benefit and child additions payable with Income Support or Child Tax Credit is received for him, or a non-dependant. In the latter case, does he work or claim social security benefits in his own right?

Just replied but it disappeared - so sorry if it appears twice.

Just a few questions on this one ..why is he buying a car here if he lives abroad ?(surely not for export as they are much dearer in the UK).

If he is buying the car for your son, why doesnt he pay the dealer direct and then the vast amount of cash wont need to go via your/your sons bank account ?

yes i do claim for my child (tax credits and child benefit) and the car will be exported back to his home country as this works out cheaper for him ?


also i was told that monet that dependents have has nothing to do with income support as we get child tax credits

also i thought child tax credits have nothing to do with savings limits

Hiya. Why doesnt he just pay the dealer direct then - and then you wont have the worry of it going through your account.

My policy is always that honesty is the best policy - if you let them know then you will be able to sleep at night and not have it worrying you - ask them directly for advice before he does the transfer and then if it does affect your payments he can make alternative arrangements - if it doesnt affect it - then you will have nothing to worry about x

Hope you get it sorted.

saud wrote:

yes i do claim for my child (tax credits and child benefit) and the car will be exported back to his home country as this works out cheaper for him ?


also i was told that monet that dependents have has nothing to do with income support as we get child tax credits

also i thought child tax credits have nothing to do with savings limits

If a child accrues more than £3,000 in capital, they will be subject to a nil Child Tax Credit award. That means no CTC will be payable. Child Benefit is unaffected by the amount of capital held by a child

Furthermore, if capital amounting to £20,000 is received, the DWP may treat the capital as held by the IS claimant and remove entitlement from the date it was acquired, as it exceeds the maximum capital limit which is currently £16,000.