Will I qualify for the £150 tax rebate in April?

Mobtr

northernstar007 said:

Ultrasonic said:

northernstar007 said:

just paid mine today in full using paypal with a nectar card, awaits for my £150 off the gov now

Out of interest, why do you pay your council tax all in one go? Does your council make this cheaper?

always do every year since i been mortgage and debt free, pay bills in full straightaway forget about it for 12mths and take a big hit march/april

We do exactly the same, council tax, insurances, anything that’s yearly gets paid in one go 

northernstar007

Mobtr said:

northernstar007 said:

Ultrasonic said:

northernstar007 said:

just paid mine today in full using paypal with a nectar card, awaits for my £150 off the gov now

Out of interest, why do you pay your council tax all in one go? Does your council make this cheaper?

always do every year since i been mortgage and debt free, pay bills in full straightaway forget about it for 12mths and take a big hit march/april

We do exactly the same, council tax, insurances, anything that’s yearly gets paid in one go 

me too, everything inc car ins/tax service EVERYTHING, been in debt a longtime ago and was a massive learning curve, never again

jimexbox

Unless a bill incurs an extra cost spreading the payments over a year, I pay monthly. The logic that it's better earning 1% 😭 for me, than them. 

QrizB

northernstar007 said:

Mobtr said:

northernstar007 said:

always do every year since i been mortgage and debt free, pay bills in full straightaway forget about it for 12mths and take a big hit march/april

We do exactly the same, council tax, insurances, anything that’s yearly gets paid in one go 

me too, everything inc car ins/tax service EVERYTHING, been in debt a longtime ago and was a massive learning curve, never again

But next month's Council Tax isn't a debt, no more than next month's electricity bill is.

Are you saying that you pay a year's electricity up front too?

jbuchanangb

Council Tax has always been due in full every April. It is a concession by councils to allow it to be spread over 10 months or paid in 2 lump sums, one in April and one in October. I pay monthly. £2,500 in one lump is a lot of money. TV license is due in full annually, but there is a concession to pay monthly covering 6 months BEFORE the due date and 6 months AFTER. I pay mine in full annually. My water charges are billed every 6 months, with standing charge 6 months in advance and usage 6 months in arrears. My water company offers monthly payment scheme but I don't use it. Energy bills are due in arrears, but energy companies offer monthly payment schemes to help them with cash flow, and incentivise customers to use the scheme by offering a small discount. The bills in arrears are offset against monthly payments, so accounts can be in debit or credit as bills come and payments go. Only Symbio (AFIAK) tried a billling regime more like the water utilities with standing charges in advance and usage in arrears (although they did it by estimating the usage in advance and correcting in arrears.) I have just received my Council Tax Bill, and it included a leaflet from HM Government headed GOVERNMENT COUNCIL TAX REBATE explaining the new scheme. I'm not entitled to it as I live in a Band E property.

EssexHebridean

jimexbox said:

Unless a bill incurs an extra cost spreading the payments over a year, I pay monthly. The logic that it's better earning 1% 😭 for me, than them. 

Yes - this. TV license, water rates and council tax get paid monthly - the two “spare” months on the council tax (and water rates) see the usual monthly amounts go to savings, but there’s no additional cost to spreading the payments and it makes budgeting more straightforward. If you’re able to save sufficient to pay insurances annually upfront that represents a huge saving. The ones to watch for are TV license on a quarterly DD and “road tax” on a monthly DD as unless things have changed I believe both of those carry a premium for paying that way whereas monthly (for the TV license) and annually/6 monthly (on road tax, if available to you) don’t. Also - for those saying “I take a massive hit when the bill becomes due” - budget the right amount each month into a savings account for the purpose then you won’t have that hit - plus the money might earn you at least a little bit of interest while it’s building up. (A regular saver would work well for savings of this type with a known “extraction date”. ) 

northernstar007

QrizB said:

northernstar007 said:

Mobtr said:

northernstar007 said:

always do every year since i been mortgage and debt free, pay bills in full straightaway forget about it for 12mths and take a big hit march/april

We do exactly the same, council tax, insurances, anything that’s yearly gets paid in one go 

me too, everything inc car ins/tax service EVERYTHING, been in debt a longtime ago and was a massive learning curve, never again

But next month's Council Tax isn't a debt, no more than next month's electricity bill is.

Are you saying that you pay a year's electricity up front too?

not the gas nd elecy, but anything that can be paid off straightaway i do

Ultrasonic

northernstar007 said:

Ultrasonic said:

northernstar007 said:

just paid mine today in full using paypal with a nectar card, awaits for my £150 off the gov now

Out of interest, why do you pay your council tax all in one go? Does your council make this cheaper?

always do every year since i been mortgage and debt free, pay bills in full straightaway forget about it for 12mths and take a big hit march/april

Obviously interest rates are low but you are ultimately paying more as a result of your lump sum payment not being in a savings account until needed (unless you are charged less for the lump sum payment). The more bills you do this with the more it will cost you. Not sure I see an upside from your approach personally but obviously if you're happier this way then crack on  .

As others have said, Council Tax isn't a debt. Paying monthly means you're paying for the ongoing Council services as you use them.

StartledJesus

As has been mentioned, the rebate will only be paid automatically if you qualify and pay by direct debit. Otherwise the rebate must be claimed for.

However, if I am interpreting this extract from the web page for my local authority, Leeds, correctly it seems that it doesn’t necessarily have to be deducted from your council tax, but can be paid separately into your bank account directly, presumably as a lump sum.

Can anyone confirm? Is this general, or will vary by council?

EXTRACT

If you don't pay council tax by direct debit

Someone named on your council tax bill must fill in the online form which will be available on this page from Monday 4 April.  

You can choose to be paid directly, or to get £150 off this year's council tax bill.  

To complete the form, you will need:  

an email address

your council tax account number

one proof of identity, such as passport, driving licence, bank statement or utility bill (this cannot be your council tax bill)

If you choose to be paid directly to your bank account, you will also need to give us your bank details. 

CIS

jbuchanangb said:

Council Tax has always been due in full every April. It is a concession by councils to allow it to be spread over 10 months or paid in 2 lump sums, one in April and one in October. I pay monthly. £2,500 in one lump is a lot of money.

The payment over 10 months is a statutory provision, so councils have no choice but to offer if for the full year. The 2 payments is something they don't have to offer.