Does Universal Credit tell landlords that their tenant is on Universal Credit?

Motley333

Does Universal Credit tell landlords that their tenant is on Universal Credit?

I couldn't find an answer to this on the forums. Sorry if I missed it.

Its hard to find somewhere to rent if you're unemployed. So does UC check with the landlord you are actually renting from them by phoning them or writing to them? Hence is it impossible to conceal claiming UC from a landlord?

Many thanks in advance
Motley

marleyboy

Most Landlords want references, these may include work references and\or bank statements, which will pretty much lay it out to the LL where and what your income is.

[Deleted User]

Try searching Gumtree a lot of private LL's put ads on there, they are less likely to do financial checks.

Motley333

Thanks for that quick response Marleyboy and I appreciate your point.

But does anyone know the answer?

I found this in The Guardian
"For decades it was a common sight: the words "No DSS" at the top of a rental advert. While such open discrimination is now more rare – not least because tenants can now receive housing benefit themselves, meaning landlords don't even need to know they are receiving it – campaigners say those on benefits are finding it increasingly tough to find private homes."

Sorry can't post a link.

Thanks

HappyMJ

Motley333 wrote: »

Thanks for that quick response Marleyboy and I appreciate your point.

But does anyone know the answer?

I found this in The Guardian
"For decades it was a common sight: the words "No DSS" at the top of a rental advert. While such open discrimination is now more rare – not least because tenants can now receive housing benefit themselves, meaning landlords don't even need to know they are receiving it – campaigners say those on benefits are finding it increasingly tough to find private homes."

Sorry can't post a link.

Thanks

You do not need to mention you are could claim housing benefit or universal credit once you're in a property to a landlord.

You do need to prove you can pay the rent without that income and if you can get HB or UC then that's a bonus.

The LL will not know a tenant is claiming either of those benefits. They do not speak to the LL or the letting agent. The tenancy agreement is all that is required for a claim.

Mersey_2

HappyMJ is right.


UC/DWP couldn't as it'd breach Data Protection. Equally, councils have to ask your permission (usually by ticking a box), to share information with landlords when you apply for HB. [The exception being fraud when they can share info to prevent fraud]

Londonsu

You must understand the LLs perspective if the LL has a BTL mortgage they may not be allowed to rent to someone on HB


Taken from LLs guide to tenants on HB

Housing Benefit and buy-to-let mortgages
You should always check the conditions of your mortgage as some lenders do not allow landlords to let to tenants on Housing Benefit.
In fact Nationwide and Lloyds have recently lifted blanket bans on landlords letting to Housing Benefit tenants. Restrictions may still apply elsewhere and you should be especially vigilant if you are a new landlord.


So yes while it could be a breach of the DPA for UC to give that information to the LL, a LL could be well in their rights to evict a tenant if it puts their mortgage in jeopardy.


The other problem for LLs is insurance they may have to pay an extra premium if they rent to tenants on HB, so if a tenant lies to them it puts their insurance cover at risk


Most councils have a list of LLs who will accept tenants on HB

Brighty

Londonsu wrote: »

You must understand the LLs perspective if the LL has a BTL mortgage they may not be allowed to rent to someone on HB


Taken from LLs guide to tenants on HB

Housing Benefit and buy-to-let mortgages
You should always check the conditions of your mortgage as some lenders do not allow landlords to let to tenants on Housing Benefit.
In fact Nationwide and Lloyds have recently lifted blanket bans on landlords letting to Housing Benefit tenants. Restrictions may still apply elsewhere and you should be especially vigilant if you are a new landlord.


So yes while it could be a breach of the DPA for UC to give that information to the LL, a LL could be well in their rights to evict a tenant if it puts their mortgage in jeopardy.


The other problem for LLs is insurance they may have to pay an extra premium if they rent to tenants on HB, so if a tenant lies to them it puts their insurance cover at risk


Most councils have a list of LLs who will accept tenants on HB

Agree

As a landlord i would want/need to know if a tenant was receiving housing benefit/UC. My consent to let is dependant on no 'DSS' tenants, as is my landlord/building insurance. My letting agents know not to rent any of my properties to benefic claimants. It's not me being preducied, it's conditions forced upon me by my mortgage provider and insurer. If a tenant hid it from me/agent and the house burnt down, i would potentially be uninsured. That tenant would find me a tad miffed and find himself not only homeless, but on the pointy end of a court claim
If you receive housing benefit, contact the council and they will give you a list of landlords happy to rent to you

Brighty

HappyMJ

Brighty wrote: »

Agree

As a landlord i would want/need to know if a tenant was receiving housing benefit/UC. My consent to let is dependant on no 'DSS' tenants, as is my landlord/building insurance. My letting agents know not to rent any of my properties to benefic claimants. It's not me being preducied, it's conditions forced upon me by my mortgage provider and insurer. If a tenant hid it from me/agent and the house burnt down, i would potentially be uninsured. That tenant would find me a tad miffed and find himself not only homeless, but on the pointy end of a court claim
If you receive housing benefit, contact the council and they will give you a list of landlords happy to rent to you

Brighty

You will never know.

Many tenants would be entitled to an element of HB/UC despite earning enough from full time employment to pay the rent.

I've seen some poor quality properties in the local area situated in deprived areas that also categorically say they cannot be let to tenants on HB but they are large 3 bedroom houses. If a couple with just 2 children rented one they would most definitely be on a small amount of HB and UC and if they earned so much as to not be entitled to any HB or UC they certainly would not be renting the property in the deprived area as they could afford the much better quality property in the adjoining village only 1 mile away which is just £100/month more.

I'm sure if you actually spoke to your insurer the clause means if the tenant "wholly" requires HB or UC to pay the rent before starting the tenancy. If they're earning an income then you can actually let the property to them and if once the tenancy has started they apply for UC or HB it will not invalidate your insurance claim should the property burn down. You cannot evict a tenant who claims UC or HB the day the tenancy starts so what are you going to do for 6 months until you issue a section 21 notice. I guarantee you will not be uninsured for 6 months.

I have not told my LL that we claim benefits after the tenancy has started. There's no legal requirement. My priority was a roof over my head and if that meant saying we were not at the time claiming HB then that's what I had to say and at the time that was the truth as I was living with an ex-partner and had to leave.

Mersey_2

True again.


I think some on here are talking of prospective tenants.


Whereas most - including the OP - will have been given a tenancy when in work and then been made redundant. In those circumstances a local authority cannot tell a landlord that the tenant is in receipt of HB.

Motley333

Thanks to all who replied.