3. Learn the rules about getting rid of assets

The Ontario Disability Support Program (ODSP) can refuse to give you income support, reduce it, or cut it off if:

• you give away assets
• you sell assets for less than what they're worth

When you apply for ODSP, you have to tell them about any assets that you gave away or sold.

You have to give this information going back at least one year before you apply. And ODSP can ask you for the information for the past 3 years.

If you got rid of something for less than it was worth

ODSP considers how much an asset was worth when they decide how many months to cut off or refuse to give you income support.

If you gave something away or sold it for less than it was worth, you may still qualify for income support.

But ODSP can reduce the amount of your income support by at least 5% and up to 20%.

For example, if you get $1,200 each month and ODSP takes away 5%, this means you get $60 less. And if ODSP takes away 20%, this means you get $240 less.

ODSP can't reduce your income support by more than 20% unless you agree.

Why you sold or gave away an asset

Before ODSP decides what to do about your income support, they must consider the reasons you:

• gave something away, or
• sold it for less than what it was worth.

If you got rid of assets to qualify for ODSP

ODSP can refuse to give you income support or cut off your income support if they think that:

• you got rid of something for less than it was worth,
• you did this on purpose, and
• you did it to qualify for income support.

If you had other reasons for getting rid of assets

You might be able to explain to ODSP why you got rid of an asset for less than it was worth. For example:

• Did your disability make it hard for you to know what the asset was worth?
• Did you not understand what you were doing because of your disability?
• Did you sell something to pay a debt?

What else ODSP must consider before deciding what to do about your income support

ODSP must also look at things like:

• your income and how much you need to live
• how long ago you sold or gave away the asset
• why you got rid of the asset and if something happening in your life affected whether you could make good decisions

When ODSP looks at your reasons, they can decide to start giving you income support or to keep giving you the same amount. And they can do this even if you gave something away or sold it for less than it was worth.