Housing Benefit Fraud

[MarkJ]

I'm totally gobsmacked at the moment with Manchester City Council and the way in which they deal with housing benefit.

Basically, we rented a property to a lady in March last year, at which point she put in a claim for housing benefit.

The councils/government policy is to now pay the tenant the benefit directly to them, supposedly to make them more responsible with money (which is ridiculous, if someone sends you a cheque for over £1,000, sure they aren't going to be tempted to spend it). If they don't pay the landlord then only after 8 weeks has passed can you make a complaiint, the council will then look into the matter (another 2-3 weeks) then make a decision.

In this case, after the tenant finally made a payment in October, we informed the council about non payment after 8 weeks, they said they would look into the matter, recorded delivery letters were 'lost' etc etc.

I get a letter this morning (five months late) saying the rent will now start getting paid to us directly.

Lot of use that is cos last Friday she did one, totally trashing the house and then disappearing, after being paid in total £3325 in housing benefit payments directly.

The councils attitude? You'll have to chase her for the money, it's nothing to do with us. They couldn't even agree that although I will never see this money, she has basically stole three grand off the council and lived somewhere for free for six months.

They couldn't even guarantee that she wouldn't be 'struck off' the hb list so is free to do this again. And again. And again. This is disgusting and the councils don't want to do anything about it.

This is now the second time it's happened to me/the company (the first time being £1,700), so god knows how many more and how much more money is being wasted on this.

[Jamz]

So the moral of this story is don't rent to job dodging b@sards then right?

people like this REALLY piss me off!

[rvn]

This has happened to me twice before so I sympathise. If I were you I would take legal advice (check your insurance for free legal helpline) It is possible to track these mutha******* down if you have some basic details for them by bypassing data protection laws that councils etc like to hide behind. A lawyer will be able to expand on that or perhaps try a google search or ask in landlord forums. Even if you are able to serve notice it will take time to recover any money at all, if ever. Both my cases are in progress, one at the initial stage (notice served) the other is at the payment stage. It will take me around 2 years to get 2500 back off this parasite.

[MarkJ]

It's a catch 22, spending money trying to find these kind of people (especially since they will end up just using a boyfriends name when claiming next or something similar), just means throwing good money at something that may not get anything out at the end.

I''ve had private tenants do this before leaving arrears, but what's really angered me is the fact the council don't seem to care that people are basically stealing cash and won't do anything to stop the same people doing this time and time again.

Rent a house for free and get paid for it. It's an f'ing joke. I know that we will not be accepting any more hb tenants in the future, i'd rather the house be empty and pay the mortgage than what's happened repeating itself.

[MarkJ]

And from what I can gather, this will hit the fan (no-ones interested in it so far as its private landlords), as this 'pay the rent to the tenant' thing is going to be pushed through onto housing associations soon, who arguably have more tenants who won't pay.

[rvn]

Yes it is catch 22, which is why I take out rent guarantee insurance now for every tenant. Councils don't want to know, but what do you expect from this government? Pass the buck, overtax and outsource! Things are worse! Many things are outsourced these days which would explain the ridiculous CT bills, but the level of service doesn't improve. If there's a problem the response is its not out problem a contractor deals with that. I'm currently letting two places out again, some of the calls will be comical.

[SteveyxAsp]

My other half had the same problem with her tenants on her house that she rents in Worksop before Christmas, the council paid the rent to them and they didn't pass the money on to her, as she said the rent paid for their Christmas.
What I found quite disgusting was that when I first met her the council had fallen 18 Months behind in the rent and then said they could only pay the arrears to her at £15 a Month.

[phil8715]

Originally Posted by Jamz

So the moral of this story is don't rent to job dodging b@sards then right?

people like this REALLY piss me off!

Erm, not everybody who are unemployed are job dodging b@stards. I've been unemployed for 3 years, not for the want of trying to get a job. Yes housing benefit fraud happens, but not everybody who is unemployed is commit housing benefit fraud.

My housing benefit is paid direct to my Housing Association.

I get fed up with people tarring the unemployed with the same brush. However I can see where you're coming from, not everybody is as honest as me.

[getti]

I would say when he meant 'job dodging' that was people who don't WANT to work or do anything possible not too.

There is a difference between dodging getting a job and trying and not being able too which is unfortunate because there are people out there who really do want work but are unable too

[kanjer]

damn this is soo scary we are about to let ours to the dss. i cant afford the rent on our new house and the mortgage on the flat. anyone got any dos and donts?