Tenant claimed benefits fraudulently – Council reclaiming from us!
We have received the email below from Trudy. Please help by leaving comments if you have been in the same position yourself or if you know the law and can advise her what she should do.
Trudy’s email is below:-
“Hi Mark
We have had a DSS tenent in since 2009 who has just left the property and the council has just sent us a letter stating that we owe them £26,000 as he was claiming his housig benefit frauduently. Can this be right that we owe this amount to the council?
I look forward to your advice.
Kind regards
Trudy”
Comments
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HMO Licensing Fees - Oxford Council Humiliated
9:15 PM, 21st November 2012, About 13 years ago
We are a letting agent in Coventry and it states on the form for direct payments that any change in tenants circumstance that you should have know , they will demand repayment. That is why we don’t take direct payment. It may seem like a safe way to get paid, but you must read the small print.
If this the case they should inform you of the fraud. If they won’t then how can you defend yourself. We still have the case you are innocent till proved guilty. Just be aware if you have more properties on direct payment as they may just stop payments till resolved. Good luck.
Comments: 30
4:46 PM, 21st December 2014, About 11 years ago
Some great advice on this forum! I have posted a similar question which is currently being reviewed. I am looking forward to receiving a response.
It’s good to know that there are people out there to give good advice protect landlords. I’ve just been become a landlord and I could not have gotten a worse nightmare tenant. Potentially a HB overpayment issue but I just want to be prepared if that turns out to be the case.
I hope you have resolved your issue with the council. What was the outcome?
Member Since December 2013 - Comments: 86
6:41 PM, 22nd December 2014, About 11 years ago
This article by Bill Irvine (Mark, the link is to freely available RLA news content) should help flesh out earlier advice.
http://news.rla.org.uk/housing-benefit-lha-overpayments-stop-council-recovery-abuse/
Comments: 30
9:50 PM, 22nd December 2014, About 11 years ago
Reply to the comment left by “Renovate To let” at “22/12/2014 – 18:41“:
This is a great article. Thank you for sharing. When I signed my contract with the agent (not tenant) there was a phrase stating something along the lines of of…should an overpayment be made, it will be reclaimed from the Landlord…does this jeopardise my chances of appealing against the councils decision to seek overpayments the landlord I.e. me?