BUDGETING ADVANCE
You can get what is known as a ‘Budgeting Advance’ to help pay for emergency household costs (for example buying a new cooker or for help getting a job or staying in work).
Eligibility
To get a Budgeting Advance, you must have:
What you’ll get
The smallest amount you can borrow is £100. You can get:
How to apply
You cannot apply for this advance on your online account.
Call 08003285644 or speak to your work coach.
You must agree to the repayment terms before you can be accepted. Payments can be spread over maximum 12 months.
If you are part of a joint claim, both claimants must agree.
If you need same day payment then explain your financial need and they will make a decision.
IMPORTANT - UC can only deduct an amount equal to 40% standard allowance for advances. If you are already paying close to the back, you will not be able to access another advance or it will be very little due to the rules in collecting the repayments.
Eligibility
To get a Budgeting Advance, you must have:
- been getting Universal Credit, Employment and Support Allowance, Income Support, Jobseeker’s Allowance, Housing Benefit or State Pension Credit for 6 months or more, unless you need the money to help you start a new job or keep an existing job
- earned less than £2,600 (£3,600 jointly for couples) in the past 6 months
- paid off any previous Budgeting Advances
- you do not need to have paid off New Claim Advance
What you’ll get
The smallest amount you can borrow is £100. You can get:
- up to £348 if you’re single
- up to £464 if you’re part of a couple
- up to £812 if you have children
- can pay the loan back
- have any savings over £1,000 (we will reduce the loan amount we offer to you by £1 for every £1 you have in savings over the £1000 threshold)
How to apply
You cannot apply for this advance on your online account.
Call 08003285644 or speak to your work coach.
You must agree to the repayment terms before you can be accepted. Payments can be spread over maximum 12 months.
If you are part of a joint claim, both claimants must agree.
If you need same day payment then explain your financial need and they will make a decision.
IMPORTANT - UC can only deduct an amount equal to 40% standard allowance for advances. If you are already paying close to the back, you will not be able to access another advance or it will be very little due to the rules in collecting the repayments.
MAXIMUM DEDUCTION FOR ADVANCES
Single, under 25 - £100.70
Single, 25 or over - £127.13
Joint claim, under 25 - £158.08
Joint claim, 25 or over - £199.56
Single, under 25 - £100.70
Single, 25 or over - £127.13
Joint claim, under 25 - £158.08
Joint claim, 25 or over - £199.56
Example - if you are a single claimant, over 25 and you are already paying back £100 per month for new claim advance, then UC can only collect a further £27.13 off you per month. This would mean that any advance offered to you would be restricted to £27.13 x 12 months (£325.56).
If you only have one or two payments left on the existing advance, you may wish to consider waiting until that is cleared, so that you have more 'affordability' showing on the system.
If you only have one or two payments left on the existing advance, you may wish to consider waiting until that is cleared, so that you have more 'affordability' showing on the system.
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