E Purchases and Payment of Debts

Policy

A transfer does not affect the customer’s eligibility for long term care services when the resource is used:

·        To make a purchase at current market value (CMV) for the customer; or

·        To pay the customer’s valid debt.

NOTE      Repayment of the customer’s debt from a Special Treatment Trust is not allowed (MA803E.1).

Proof

Proof that funds were spent for the benefit of the customer includes:

·        Receipts for purchases; or

·        Bill payment records.

Proof of CMV is only needed when the purchased goods or services appear to be worth less than the customer paid.  For proof of a resource’s CMV, see the specific policy for that type of resource in MA705.

Legal Authority