Can I put housing benefit overpayment on bankruptcy?

[welshcake]

I have for a couple of years been paying £25 a month towards an overpayment of Housing Benefit the amount owed is around £936 which will take nearly 4 years to clear.

 

The arrears relates to an old address, I have moved since then again to a council house and receiving full housing benefit but wanted to see if I can get these arrears put onto the bankruptcy without putting my currnet home as risk if I do so.

[loobyloo85]

If your arrears are for an old address you should definately be able to put this debt into your bankruptcy and have it written off. If it were this current year's benefits, it would be different. However, you may want to check with the OR to be on the safe side x

[debtinfo]

Hi welshcake, as you have already received a demand for the money and repayments are being made this is a catagory 1 overpayment. This means that the the debt will be proveable in the bankrupty.

 

The council may not ask you to make seperate repayments in part or in full to them BUT they may deductions from any monies they pay to you in ongoing benefits BUT only until you are discharged from the bankruptcy at which time the debt will be discharged also, meaning the debt is no more

[welshcake]

They do currenty take the money from my housing benefit and I have to pay the £25 to make up the short fall each month but it does relate to an overpayment on a property that I left in 2006.