Council asking for 4 weeks rent in advance due to universal credit changes

[trebormoinet]

In my local paper the council are reminding people that due to the roll out of Universal Credit,and the way it is paid, our rents will go 4 weeks into arrears, they are hoping that people affected pay small amount each week from now until December when UC will be rolled out in my area to offset those arrears.

 

There is an option to have UC paid in advance to cover the change over, this advance will be recovered over a 6 month period.

 

If that's right then I will be £75 short on the first 6 payments of UC if I choose to have the advanced payment, which is quite a large proportion of my benefit IMO.

 

It is though they have taken 4 weeks from the future plonked it into the present and said we dont pay benefit for the future so what we will do is loan you the money to get by, but we want it back before the future has arrived, they will soon clock on that they could take 3 months from the future and borrow us all the shortfall if they rolled out UC payments on a quarterly basis saving the government zillions.

 

IDS I salute your accounting wizardry.

[Mr.P]

The problems that the monthly payment cycle of UC has been pointed out in a number of other threads. Fortunately, you have some eight months to prepare for the impending struggle (assuming you are still claiming by then). One recurring suggestion is to join your local Credit Union (locate one via: http://www.findyourcreditunion.co.uk/home) and start saving a few pounds each week - The sooner you start, the quicker you can access (relatively) low cost loans without having to resort to loan sharks or payday companies.

 

I have direct debits set up that automatically ferrets away a few pounds each week. On top of that, all the loose change in my pocket at the end of the week goes in to a jar. Last time the jar was weighed in, it added up to quite a significant amount.

[bcham]

will this affect me ,im on jsa.i receive full housing benefit with fortnightly payments which go straight to my local council incommunities. but universal credit will start in my town in a few months time.

[Mr.P]

I think it fair to say changing to a monthly payment cycle will affect everyone. Covering the initial shortfall in rent/CTX is going to be difficult for many, as will budgeting for each month.

 

Those that live hand to mouth each week are really going to struggle once UC is rolled out for everyone.

[mikeymack2002]

This subject is covered by the CAB and called an Alternative Payment Arrangement (APA). I have attached a PDF of the document from the CAB I hope this will answer your questions if not post back for more information.

 

 

Also added is a personal budget planner widely available to view hope it helps you out

 

 

See this >link

[bcham]

I think it fair to say changing to a monthly payment cycle will affect everyone. Covering the initial shortfall in rent/CTX is going to be difficult for many, as will budgeting for each month.

 

Those that live hand to mouth each week are really going to struggle once UC is rolled out for everyone.

 

why have i not been informed about this from my council housing association if i am going to be behind with my rent. when universal credit kicks in shortly.