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You may only be eligible to claim Income Support Mortgage Interest if you are claiming one of the following:
- Income Support
- Income based jobseeker's allowance
- Pension credit (appropriate minimum guarantee)
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If you have new housing costs (post-October 1995) you will receive no help with mortgage payments for 9 months (39 weeks). |
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If you and your partner have capital over £6,000 then your entitlement to Income Support Mortgage Interest will be reduced. If it is over £16,000 then you will not be eligible. |
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If you have a partner, the capital held by both of you will be added together and treated in the same way as the capital held by a single person. |
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The first £6,000 of capital is ignored. If capital is over £6,000 and up to £16,000, Income Support will be reduced by £1 for each £250 or part of £250, over £6,000. |
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Personal possessions, for example, a car, furniture and fittings in your house, and family belongings, are generally ignored in the calculation of capital. This will not always be the case. For example, if you have capital of more than £6,000 and you buy something specifically to reduce that amount. |
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You can only claim help with the interest on loans of up to £100,000. You will have to pay the interest on any excess yourself. |
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If your housing costs are regarded as excessive you could be asked to move into cheaper or smaller accommodation. |
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When you apply for Income Support Mortgage Interest, the interest payments you will receive are calculated by the Department for Work and Pensions (DWP) with reference to the Bank of England base rate. The DWP's rate may not be the same as the interest rate you are paying. If you are paying a higher rate of interest, you will have to make up the difference yourself. |
