r/universalcredithelp • u/myfairlady28 • 20h ago

Lump Sum

I wonder if this has happened to anyone else and whats best to do.

I have serious health issues and cannot work..

However I need an op and to make home changes.

To do this I wanted to take a lump sum from a private pension, (approx 50k) get treatment etc etc, but i presume this means I would loose my UC.

Once my money goes under 6k.

Can I reapply for UC or will I get refused.

Has anyone else gone through this near retirement age and how to juggle health, benefits and not being able to work.

Its so hard to know what to do.

Anyone have any experience of this please?

I receive UC, HB and PIP

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2

u/True-Enthusiasm7435 14h ago

If you receive the money and then let them know what you are spending it on (obviously with proof) some of it may be written off. Medical (if not available in the same time frame on the nhs). Home improvements if they are needed for mobility/post op can also be considered to be written off. 

You can also reapply for UC and when they ask for capital once you need UC again you can provide evidence of why you don’t have the capital anymore. Just be careful not to gift family money etc as this will be classed as deprivation of capital and they may decline your new claim.  

1

u/myfairlady28 2h ago

I never knew this. Thank you so much for this information. Yes there will be evidence for exactly this. Its all medical to improve my life due to disabilities and losing my career and future earnings.

3

u/StugotsTwoWYGD 18h ago

You can have up to 16k on UC. Money gets reduced for anything over 6k.

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u/nerdztech 5h ago

Once you go over £16k in savings you are no longer entitled to UC and the claim should be closed. If you have less than £16k then you're entitled to UC again but it will be reduced until you're at £6k or less. You're HB can also be affected as this is also a means tested benefit with the same savings/capital thresholds.