Overview
- DWP offers one-off, interest-free Budgeting Loans for legacy-benefit claimants meeting six-month entitlement rules and Budgeting Advances for Universal Credit recipients.
- Claimants may borrow between £100 and £812, with maximum amounts of £348 for singles, £464 for couples and £812 for those claiming Child Benefit.
- Repayments are automatically deducted from benefit payments with no interest charged and capped at 15% of the standard allowance under the Fair Repayment Rate.
- Savings above £1,000 (£2,000 for claimants aged 63 or over) reduce the amount a claimant can borrow by the excess.
- Applications can be made via the Universal Credit online journal, at local jobcentres or by calling the Universal Credit helpline on 0800 328 5644.