Deprivation of assets?

[jenniferpa]

When you say he has a substantial amount in the bank do you mean in the joint account, or in other accounts. I ask because I'm not sure about joint accounts - normally a joint account means just that (assuming it's a joint account and not an account where you have 3rd party access) - each persons has a claim on those funds, but if these funds were clearly his and the account was simply joint because it was convenient then I think the LA would claim they were his. You'd probably need legal representation to sort that out.

If he has saving anywhere else though (the ISAs for example) these are all considered his assets and will be considered in the event he has to go into residential care. The fact that your mother made a will indicating that you should get half of this is immaterial UNLESS these assets are being held under some form of unbreakable trust.

 

[Nebiroth]

My dad is 83 and has been diagnosed with Alzheimer's.In the event that he may need a nursing home how do I stand with finances?Dad sold his property a few years ago and came to live with us.(council bungalow and disabled friendly for my husband.)I have a joint account with Dad and am shortly to have Power of Attorney as suggested by his Consultant.He has a substantial amount in the bank,but under the terms of Mum's will,I shall receive half of this upon Dad's death with my children sharing the other half.A large percentage is tied up in two ISA's.How do I stand with the payment of nursing home fees?

Normally, assets (such as savings) that are jointly owned are divided equally; this would mean that the joint savings account you share with your dad would be divided equally between you and him, with his half being liable for the payment of care fees. However, if the account is mostly made up of the proceed from the sale of dad's house then there may be discussions with the local authority as to the division of the account - they might try to argue that his selling was a form of deprivation of asset since the proceeds are shared with you in the joint account. I don't think this is too likely though.

If your dad has "cash" assets (that is, savings) then they are all liable to payment of care fees. It is irrelevent as to the type of account they are in - bonds, ISAs and the like, this makes no difference.

I am confused when you say that the money will be distributed according to your Mum's will on your dad's death - your Mum's will cannot dictate how money in your or your dad's name will be disposed of; only your or his WIll can do this. Your mum may have expressed a wish that this should happen but it carries no legal authority. Even if the money was your mum's originally. I'm assuming your mum has already passed away? The only way this could be done would be for your mum to have left the money in a Trust with strict terms as to who has access to it, and when.

If you mean it is your dad's Will then the terms of your dad's Will are also irrelevent since they only apply after he has passed away. The terms of his Will will just be applied to whatever assets remain on his death - just because he bequeaths them to yourself and your children does not mean what he has now will be preserved as they are and does not safeguard them from being elligible for the payment of care fees. If he is self-funding then the assets will be used to pay, on his death, whatever remains will be disposed of according to the terms of his Will.

If you are thinking of his giving the money to the recipients now then this would almost certainly be regarded as a deprivation of assets - giving things away to avoid their being used to pay for care fees. In that case the local authority would treat the money as though it was still your dad's and raise charges accordingly.

 

[LesleyA]

deprivation of assets

This has come up in my life in recent days. Mum has been in hospital for nearly four weeks, finally assessments by SW and Continuing Care and OT are being carried out.
My parents having savings, some in their own names some jointly held. Mum has enough of her own money to be self funding but Dad (in his infinite wisdom -also has dementia) is currently planning to transfer Mum's half of the joint savings into his own name in order to avoid paying care costs when she returns home. I have told him over and over again that he is not allowed to do this, that half that money is Mum's, his argument is that she only has it because he has given it to her! I have told him that it will work better for them both if Mum's money is kept separate ( I hold POA for her) and an accurate record is kept of what is spent on her care - wheelchair, riser recliner chair, etc so that we will know when Mum's saving have dropped below the allowed limit. But, he won't listen and I am hoping he won't beable to do anything himself because Mum has lost capacity and I am her POA. Sorry, no help to you, but sympathy and empathy from me as you work through the system and hopefully out the other side. lesley