A man who inherited £41,000 from his brother carried on claiming means-tested benefits for more than three years.
John Spoors told officials several times he had only a few hundred pounds in savings, Durham Crown Court heard.
"It is accepted the initial claim was genuine," said Susan Hirst, prosecuting. "That was for income support in 1998.
"Mr Spoors
went on to claim housing benefit and council tax benefit.
"The claims continued even after he inherited about £41,000 from his brother in 2004."
Ms Hirst said Spoors filled in review forms in 2005 and 2008 stating he had little or no savings.
She added: "The total over payment of benefits was £37,300.09.
"This case is unusual in that it was the defendant who brought the matter to the attention of the department."
Spoors, 56, of Montgomery Road, Gilesgate, Durham City, admitted four charges of making a false statement to obtain benefits.
Paul Cauilfield, defending, said: "Mr Spoors took it upon himself to sort out his finances and went to the Citizens Advice Bureau for help.
"They told him to contact the department and it is to his credit that he did so.
"All the money has since been repaid and he is hopeful of getting a job which will enable him to come off benefits altogether."
Judge John Evans jailed Spoors for 26 weeks, suspended for 12 months, and ordered him to carry out 100 hours of community work.