Helping a Friend (continued)

[moguldreamer]

Originally Posted by Teacher Terry

I would stay out of my friend’s business. I would mention that it’s Medicaid fraud if she decides to pursue it but I wouldn’t turn her in. I would bet that Medicaid runs checks to see if people own property, etc.

In addition to pointing out it would be Medicaid fraud, I would talk about the potential consequences of that fraud. I would add she could get in a lot of trouble with both financial penalties that could truly impoverish her to jail time, of course. She wouldn't want to lose both the houses.

[otterhere]

Originally Posted by Bungalove

I would bet $$ her husband's will, if one exists, never went through probate. That's on your friend.

I've already said that neither one had or has a will.

[otterhere]

Originally Posted by moguldreamer

In addition to pointing out it would be Medicaid fraud, I would talk about the potential consequences of that fraud. I would add she could get in a lot of trouble with both financial penalties that could truly impoverish her to jail time, of course. She wouldn't want to lose both the houses.

I have. But she claims she was told by "the Medicaid lady" that the only reason the husband wasn't approved for it was because they had just a little over (by about $6k), so it's clear they didn't know and weren't and aren't aware that they own two houses which, again, they didn't clearly clarify/disclose. So if I heard she was also planning to apply, I would make sure Medicaid knew about BOTH assets.