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Facts About State Benefits For Home Owners:-.
You may only be eligible to
claim Income Support Mortgage Interest if you are claiming one of the
following:
The first £6,000 of capital is ignored.
If capital is over £6,000 and up to £16,000, Income Support will be reduced
by £1 for each £250 or part of £250, over £6,000.
You can only claim help with the interest on loans
of up to £100,000. You will have to pay the interest on any excess
yourself
When you apply for Income Support Mortgage
Interest, the interest payments you will receive are calculated by the
Department for Work and Pensions (DWP) with reference to the Bank of England
base rate. The DWP's rate may not be the same as the interest rate you are
paying. If you are paying a higher rate of interest, you will have to make
up the difference yourself. |
If you have new housing costs
(post-October 1995) you will receive no help with mortgage payments for 9
months (39 weeks). If you and your partner have
capital over £6,000 then your entitlement to Income Support Mortgage
Interest will be reduced. If it is over £16,000 then you will not be
eligible.
If you have a partner, the capital
held by both of you will be added together and treated in the same way as
the capital held by a single person.
Personal possessions, for example, a car, furniture
and fittings in your house, and family belongings, are generally
ignored in the calculation of capital. This will not always be the
case. For example, if you have capital of more than £6,000 and you buy
something specifically to reduce that amount
If your housing costs are regarded
as excessive you could be asked to move into cheaper or smaller
accommodation.
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