Universal credit and personal loans

calcotti

Moira44 said: Because this is credit in my account - does this count as savings as hence effect us claiming for universal credit? Thanks  

Yes it does.Anything over £6,000 will reduce the UC payable.

pmlindyloo

Your options are:
1.  Declare it and see a reduction in any possible universal Credit.
2. Use the money to tide you over the next few months until you are hopefully back on your feet and not claim any benefits.
3. Repay the loan now - paying back debts is not considered to be deprivation of capital under Universal Credit and then claim Universal Credit.

Ddinev

Hi there.
I have a question, we're getting Universal Credit at the moment and we get personal loan from our bank 14k for home improvements, so my question is is this loan will affect our UC in any way or what're the options to do.
I dont have 16000£ savings

KatrinaWaves

Ddinev said:

Hi there.
I have a question, we're getting Universal Credit at the moment and we get personal loan from our bank 14k for home improvements, so my question is is this loan will affect our UC in any way or what're the options to do.
I dont have 16000£ savings

It will be very difficult to get a 14k loan whilst on benefits for a low income. 

Look for cheaper ways to do the work. 

Ddinev

KatrinaWaves said:

Ddinev said:

Hi there.
I have a question, we're getting Universal Credit at the moment and we get personal loan from our bank 14k for home improvements, so my question is is this loan will affect our UC in any way or what're the options to do.
I dont have 16000£ savings

It will be very difficult to get a 14k loan whilst on benefits for a low income. 

Look for cheaper ways to do the work. 

But we already have the loan 4 months ago i have good credit score so they give me, so is this loan will count like income is it going to affect the UC payments.
I didn't tell anything to my work coach and i can't find on the gov site that i need to report the loan. 
Does anyone had the similar experience?

poppy12345

Ddinev said:

KatrinaWaves said:

Ddinev said:

Hi there.
I have a question, we're getting Universal Credit at the moment and we get personal loan from our bank 14k for home improvements, so my question is is this loan will affect our UC in any way or what're the options to do.
I dont have 16000£ savings

It will be very difficult to get a 14k loan whilst on benefits for a low income. 

Look for cheaper ways to do the work. 

But we already have the loan 4 months ago i have good credit score so they give me, so is this loan will count like income is it going to affect the UC payments.
I didn't tell anything to my work coach and i can't find on the gov site that i need to report the loan. 
Does anyone had the similar experience?

It would have been better to have started your own thread rather than ask the question on someone else's.

You should have reported the loan to DWP on your journal. It will be classed as savings and it should have reduced your UC by £4.35 for every £250 (or part there of) over £6,000. You will have an overpayment.

KatrinaWaves

If you have had 14k sitting in your bank account for four months then yes you need to have told them. 

Ddinev

KatrinaWaves said:

If you have had 14k sitting in your bank account for four months then yes you need to have told them. 

 Is it a good idea to tell them now because this was four months ago

poppy12345

Ddinev said:

KatrinaWaves said:

If you have had 14k sitting in your bank account for four months then yes you need to have told them. 

 Is it a good idea to tell them now because this was four months ago

Yes!! Yes you should have reported it 4 months ago, which is why i advised you will have an overpayment of benefits and this will need to be repaid back from future UC payments.

Spaceman450

Do not break the law

it is wrong and will come back to bite you in the end