No Crisis Loans?

dandelionclock30

People do abuse vouchers, what happens is they sell them on for around half price.

GillyR-J

I wondered why so many people were trying to get loans at my local credit union this week.
The credit union helped us when we needed it so now that OH and I are in work,we have decided to make regular savings into the credit union to help others.

ArtoDeeto

Crises loans are gone, you need to contact the council.

barbarawright

Hysnbrg wrote: »

Have I missed something here, called the benefit people today and heard an automated message stating Crisis Loans were no longer available!? I'm not a user of the service as i found it very hostile and use the high street poverty trap pawn shops (least its service with a smile)

But my God this is a new low even for the Torys. Watch the crime rate go through roof. Anyone got more info? I haven't seen anything on the news.

Why did you call the service if you don't use it?

[Deleted User]

Yep they stopped on April 1st & not everyone was aware of it so many more people may be in for a shock...

You do not get money any more but some councils refer people to a food bank or give vouchers you can use in shops

Yes , it is an emergency but what if some people would prefer to get their cheap veg and meat from the market rather than pay shop prices and the vouchers won't go far in local shops

It means genuine claimants now have no control & am not sure what they do regarding fuel payments , probably a voucher for the shop I presume?

They do get back the money even if it takes them years!!

I agree with the crime rate going through the roof comment though & many people will be taking in lodgers but not declaring it as a way of managing / paying the bedroom tax as if you declare it they only let you keep £20 of the rent , or not all of it anyway , so doing things illegally to survive will definitely increase

Desperate people will do desperate things unfortunately & prevention was better than cure even if some people abused the system the new system simply won't work and may end up costing the government more

I doubt they have increased the budgeting loan budget to allow for all the people who can no longer get a CCG as they will turn to a budgeting loan instead & the social fund dept will be overwhelmed and definitely not have enough money to go round now

osdset

As it's local authorities that will be issuing the cards, chits, or vouchers, and the funds have not been ring fenced. We might well see a lot of mayors with new chains of office.

I read that in one part of the country the LA will be issuing food cards that can only be redeemed at ASDA, so that's any kind of choice out of the window.

sammyjammy

cazzap06 wrote: »

Yep they stopped on April 1st & not everyone was aware of it so many more people may be in for a shock...

You do not get money any more but some councils refer people to a food bank or give vouchers you can use in shops

Yes , it is an emergency but what if some people would prefer to get their cheap veg and meat from the market rather than pay shop prices and the vouchers won't go far in local shops

It means genuine claimants now have no control & am not sure what they do regarding fuel payments , probably a voucher for the shop I presume?

They do get back the money even if it takes them years!!

I agree with the crime rate going through the roof comment though & many people will be taking in lodgers but not declaring it as a way of managing / paying the bedroom tax as if you declare it they only let you keep £20 of the rent , or not all of it anyway , so doing things illegally to survive will definitely increase

Desperate people will do desperate things unfortunately & prevention was better than cure even if some people abused the system the new system simply won't work and may end up costing the government more

I doubt they have increased the budgeting loan budget to allow for all the people who can no longer get a CCG as they will turn to a budgeting loan instead & the social fund dept will be overwhelmed and definitely not have enough money to go round now

Each council will be doing their own thing. Sheffield City Council are giving money where appropriate through the credit union who will also be administering the loan and its repayments.

mel48rose

sm1985 wrote: »

I am a support worker for vulnerable young people and the local authority I work in have systems in place for both crisis loans and community care grants (they are calling them non crisis loans). The biggest change with both is that no money is involved, it's all voucher based so the claimant cannot abuse the system.

Vouchers sound a much better idea, at least being used what they were meant for.

osdset

mel48rose wrote: »

Vouchers sound a much better idea, at least being used what they were meant for.

Can you use them to pay for public transport? Gas, electricity? Water rates? The bedroom tax? The council tax shortfall?

Benny_Fit

osdset wrote: »

Before crisis loans were scrapped, the DWP cut the amount available to a maximum of 40% of weekly benefit so for a single person on basic JSA the most they could get would have been £28.40, the most I managed to get when I was in dire straits was £19.

It's worth bearing in mind that these were loans not grants, the money was in 99% of cases recovered by the DWP as deductions from benefit, I can see the financial logic of cutting out grants, but loans why?

No they never. It was 60% for Tenant or Home Owner - 30% for Sofa surfers.

That was the rate until it closed 28 March.