Universal Credit - can it negatively affect you in the future?

Dd88

Hello,

My partner was recently made redundant and is now seeking employment. I, on the other hand, am in full time employment with a wage that can cover us for perhaps a few months before things get tight, but I’m quietly confident that she could have gained employment by then. 

She is looking to apply for universal credit while she is job seeking (on the advice of friends and family), but for that to happen, I need to make a joint claim with her. Having never claimed before, I’m slightly concerned that this could affect us down the line somehow. 

Are there negative long-term consequences from applying/receiving UC? I’d rather avoid it altogether.

Any advice would be greatly appreciated. 

Thank you 

ohdrar

She could see about doing job seekers allowance if she's paid NI for the last 2 tax years instead of UC.
That would not mean a joint claim. Its import to claim something as she'll get your NI stamp for all the weeks you're out of work so you don't end up with an incomplete year.
Do a couple of benefits calculators such as the entitled to and maybe thinking about going to an advice service - such as the citizens advice and do a benefits check. I'd advise this if its your first time making a claim.

Dd88

ohdrar said:

She could see about doing job seekers allowance if she's paid NI for the last 2 tax years instead of UC.
That would not mean a joint claim. Its import to claim something as she'll get your NI stamp for all the weeks you're out of work so you don't end up with an incomplete year.
Do a couple of benefits calculators such as the entitled to and maybe thinking about going to an advice service - such as the citizens advice and do a benefits check. I'd advise this if its your first time making a claim.

Thanks ohdrar we’ll look into that 

poppy12345

Start by using a benefits calculator to check entitlement to UC. Whether you're entitled to anything will depend on your circumstances. As it's a means tested benefit if you have savings/capital of more than £16,000 you'll be excluded from claiming. A claim for UC will end any tax credits you may already be claiming.

Also the standard allowance of UC has been increased due to Covid and is due to reduce by £86 per month from October 2021, unless the Government extend it further. https://www.entitledto.co.uk/benefits-calculator/Intro/Home?cid=ab6dfe89-fe54-4082-9ad0-8154ac9e151b This pays class 3 NI credits.

New style JSA isn't means tested but you need to have paid the correct amount of NI contributions in tax years April 2018 to March 2020. It pays £74.70 per week (over 25's) for 26 weeks. It also pays class 1 NI credits. https://www.citizensadvice.org.uk/benefits/help-if-on-a-low-income/jobseekers-allowance-jsa/before-you-claim-jsa/check-if-you-can-get-jsa/

Mnoee

If you mean negative/long term consequences in terms of credit history or similar, there are none that I'm aware of. Being in work at the time you're taking out credit seems to be all that matters. My partner was out of work for a few months, claimed UC, found permanent work and got a mortgage after only three months at his new job as some anecdotal evidence - the benefit is there to support people in times like this, it's absolutely normal to claim it. 

poppy12345

Mnoee said:

If you mean negative/long term consequences in terms of credit history or similar, there are none that I'm aware of. Being in work at the time you're taking out credit seems to be all that matters. My partner was out of work for a few months, claimed UC, found permanent work and got a mortgage after only three months at his new job as some anecdotal evidence - the benefit is there to support people in times like this, it's absolutely normal to claim it. 

Forgot to answer that very question. I would agree with this. My daughter and her partner have just got their first mortgage, with no issues at all. They claimed UC in November because my daughters Maternity Allowance had ended and she wasn't due to return to work until January. She returned to work full time and their UC ended.

calcotti

As others have said, use a benefits calculator before applying. Any UC entitlement is based on your joint circumstances so there may be no entitlement due to your wages depending on your other circumstances.
New style JSA may be an alternative for her to claim if eligible.