Written Answers. - Social Welfare Benefits.
Michael D. Higgins
Question:
62
Mr. M. Higgins
asked the
Minister for Social, Community and Family Affairs
the guidelines under which health boards can give assistance towards mortgage payments; and the grounds on which the applicant can be refused.
[2669/98]
The supplementary welfare allowance scheme provides for a weekly or monthly supplement to be paid in respect of rent or mortgage interest payments to any person in the State whose means are sufficient to meet their needs.
The purpose of the mortgage interest supplement scheme is to assist eligible persons who are unable to meet their mortgage repayments in respect of a house which is their sole place of residence.
Entitlement to a mortgage interest supplement is determined by the health boards and supplements are normally calculated to ensure that the person has an income equal to the rate of SWA appropriate to the family circumstances, less £6. This £6 represents the minimum contribution which applicants are required to pay from their own resources.
To qualify for mortgage interest supplement, the claimant must satisfy all the general conditions of entitlement to SWA as set out in the Social Welfare (Consolidation) Act, 1993; and the conditions of entitlement to a mortgage interest supplement as set out in the Regulations (S.I. 382, 1995).
Those generally excluded from receiving assistance under the SWA scheme include people in full-time employment, people in full-time education, and people involved in trade disputes.
The scheme operates on the basis that the person shall be entitled to a supplement towards the interest portion of the mortgage repayments only, provided that: the loan agreement was entered into at a time when, in the opinion of the health board, the claimant was in a position to meet the repayments thereunder, and the residence in respect of which the loan is payable, is not offered for sale.
In addition, the health board must be satisfied that: the amount of the mortgage interest payable by the claimant does not exceed such amount as the health board considers reasonable to meet his or her residential needs, and; it is reasonable to award a supplement having regard to the amount of any arrears outstanding on the loan. [S.I. No. 382, 1995).
For the purposes of the regulations, "loan" means any loan or advance by which interest is payable to a bank, building society, credit union or the Housing Finance Agency plc. Banks, building societies, and credit unions are also defined under the regulations and come within the scope of one of the following: The Central Bank Act, 1971, or the Trustee Savings Banks Acts, 1863 to 1979; the Building Societies Acts 1876 to 1989 and the Industrial and Provident Societies Acts, 1893 to 1978 by virtue of the Credit Union Act, 1966.
