Can HB/LHA/Benefits be attached?

[greengriff]

It seems that debt collectors have little or no power to get money out of a savvy debtor. How do we go about securing an attachment of earnings so that the money is taken out of the debtor's wages or benefits before they get a chance to spend it? We have a former tenant that owes us £2.5k and we have a money order from the court.

[driver]

Here is a useful leaflet from HMCS:

http://www.hmcourts-service.gov.uk/HMCSCourtFinder/GetLeaflet.do?court_leaflets_id=219

I have asked for an "Order to obtain information". I am awaiting a date.

[Ericthelobster]

I'm in the process of applying for an attachment of earnings order myself - having to reapply today as I hadn't read the bit that if the defendant is no longer living in the jurisdiction of the original court, you have to apply to get the case transferred... :mad:

Can anyone advise about the significance of the defendant's new address? I know where my guy works, and know he went back to live with his parents (about 30 miles away) after I evicted him. But I'm concerned that he may spot any correspondence from the court and just send it back marked 'gone away' and screw up my application - can he do that? Even if he had since genuinely moved on, I know he's reasonably close to his parents and there will be no doubt that they will know where he is and will be able to pass on correspondence, but of course that can't be proved. Hopefully it's not that easy to beat the system... or is it?!?

[greengriff]

Our debtor is on benefits, so it looks like it will be a total waste of time chasing them! :-( It hardly seems fair that the government can claw back money from a tenant's benefit to pay off a debt but a private individual can't.

[toorisky]

I know about the attachment of earnings for those employed - what about a similar thing for those on benefits?

[settloe_99]

Unfortunately there is currently no such thing.

[jelly]

My tenant is behind on the rent. Most of it is paid direct to me from the local authority fortunately, but £70 p/m is to be made up by the tenant. Can I get an attachment to benefits for this from the tenant as they currently claim several benefits. If so how do I do it.

[Mrs Mug]

See the link below. I hope it helps.

http://www.landlordzone.co.uk/forums/showthread.php?23641-Attachments-of-Benefits&highlight=attachment+benefits

[GivemylovetoJudy]

Hello,

I have an ex-tenant who owes me £5,700, constituting rent arrears over a period of 8 months. I have a CCJ and would like to enforce judgment as he has refused to pay claiming he is on benefits and cannot afford anything.

I know this ex-tenant is on DWP Benefits and has them paid into a bank account he holds with Santander.

Please could anyone tell me:

(1) Is it at all possible to attach benefits in this case?

(2) Presumably, as he is on DWP Benefits, the only monies he gets paid into his bank account are Housing Benefit and Income Support. If I were to do a Third Party Debt Order against his bank account, would the Court be able to seize any of this, or are they absolutely exempt from seizure?

(3) Is there any other way I can get at least some of my money back? He refuses to co-operate.

NB. I know there is a scheme called a Third Party Payment Plan which the DWP runs, but when I spoke to them they stated that on that scheme only claimants who still lived at the address would be eligible, and then you would only get the princely sum of £3.30 per week. As my tenant is no longer my tenant, they cannot even take this money from his benefits to repay the debt!

If anyone has had any success in getting back monies owed by a benefits claimant, I would be very interested to hear.

Thank you - this seems also to be a great forum, one of the best on the internet!

S

[davidjohnbutton]

Answers

1 - no
2 - no
3 - possibly.

To elaborate - Social Security funds are exempt from siezure - this includes Housing Benefit and LHA as well as the ordinary benefits like Income Support, JSA/ Incap Benefit etc. Though these are paid into bank accounts nowadays, if a TPDO was made and the debtor identified the siezed funds as SS money, the court will not make an order.
The same protection applies to trying to get the DWP to pay a small sum each week out of SS funds - this can be done, but only with the consent of the debtor.

What you could do is send in the bailiffs to sieze any vehicles or TV's he owns so long as they belong to the debtor and are not on HP - the threat of doing this might make him sit up and pay bit by bit. Making the debtor bankrupt is just making it easier for him by writing off your debt and any others he owes and it will cost you.

You might have to grin and write the loss off I'm afraid!!!!
How did it get to 8 months arrears? Surely it wasnt 5 months court process to get him out assuming you commenced action at 2 months unpaid?????

[jta]

Answers

1 - no
2 - no
3 - possibly.


I cannot see why that should be!

Surely once a benefit has been paid to the tenant then DWP have no further interest in what happens to it? If it's stashed in a bank account then why should it not be a target for the OP?

If it is going to be used to buy the infamous 50 inch TV anyway why should not the OP at least make an attempt to snatch it?

[Snorkerz]

It IS possible to do an attachment to benefits - but only for current tenants.

The reason for this is, if you can attach to a current tenant, you may be inclined to keep them housed, which is regarded by the state as a primary need.

Once the tenant has left the property, you (as a landlord), have no further use, and the state gains nothing by allowing you to attach.

[theartfullodger]

In case you've heard of it happening to other tenants... I believe it is quite common for council & social landlords (housing assocs..) to get an attachment from benefits to past as well as current tenants, but these are usually in the £3-£5/week...

[Brb]

This is what I'd like to see change in favour for private LLs. Why should council/HA have the ability to do attachment of benefits and not private LLs (you all do same thing after all!). If this was to change then I think there would be more LLs willing to let to LHA Ts and the better LHA Ts wouldn't get tarred with the same brush so to speak and hopefully the idiot (am sure you've called them worse) Ts that run off owing rent will have to pay it back (albeit slowly) because I bet they definately have given DWP their new address pretty sharpish.

[Moderator1]

Several largely similar questions on separate threads have been merged into this thread (hence the repetitive nature of answers).

[GivemylovetoJudy]

thank you to everyone who responded and especially davidjohnbutton.

This is helpful information.

Basically, it would appear that tenants who are on benefits can run up a debt and be taken to Court and get away with it once they change addresses.

I have always been sympathetic towards my ex-tenant. I know he was abused by his father and as a result had serious psychiatric problem and that he was on benefits, but I feel he has taken me for a ride. He ran up the debt wilfully and knowingly out of spite and now, after all the legal costs, there is no chance of me getting anything back via Attachment to his Benefits (of which he gets plenty owing to his psychiatric illness).

It is galling to be treated in such a way and I can understand the plethora of lettings agents who prominently display a sign in their front window 'No DSS Tenants'.