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Help with Universal Credit advance!
Jobseeker69
Posts: 2 Newbie
I'm not supposed to get any UC money till the 7th of July but the woman said I could get an advance. She said if I don't get a job until the 7th then that advance money that I get will not have to be paid back.
I have been researching it myself now and it sounds to me like the woman wasn't very clear and that I will in fact have to pay this money back no matter what?
Or if I take this advance will I still receive money on the 7th of July and it just means that I could immediately pay back the advance as long as I haven't spent it all and any outstanding money to be paid back will be taken from the money I receive on the 7th?
Sorry for the confusion but the Job Centre weren't very clear and because it's technically a loan I am very skeptical about taking it even though I have £20 in the bank to last me a month!
I have been researching it myself now and it sounds to me like the woman wasn't very clear and that I will in fact have to pay this money back no matter what?
Or if I take this advance will I still receive money on the 7th of July and it just means that I could immediately pay back the advance as long as I haven't spent it all and any outstanding money to be paid back will be taken from the money I receive on the 7th?
Sorry for the confusion but the Job Centre weren't very clear and because it's technically a loan I am very skeptical about taking it even though I have £20 in the bank to last me a month!
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Comments
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Completely wrong. If you take an advance you do have to pay it back (interest free). It will normally be collected by deduction from future UC payments over a maximum of 24 months. If UC stops before the advance is paid back then you will still owe the balance to DWP and will have to make other arrangements to pay.Jobseeker69 said: She said if I don't get a job until the 7th then that advance money that I get will not have to be paid back.
Correct.Jobseeker69 said:
it sounds to me .. that I will in fact have to pay this money back no matter what?Information I post is for England unless otherwise stated. Some rules may be different in other parts of UK.1 -
So I should just click on the option to pay it back over 24 months?calcotti said:If UC stops before the advance is paid back then you will still owe the balance to DWP and will have to make other arrangements to pay.
I'm assuming once I get a job I can just immediately pay back the full amount instead of having to drag it out over 24 months?0 -
If your UC entitlement ends, yes.Jobseeker69 said: I'm assuming once I get a job I can just immediately pay back the full amount instead of having to drag it out over 24 months?Information I post is for England unless otherwise stated. Some rules may be different in other parts of UK.1 -
It used to have to be paid back in 12 months unless it's changed to 24.0
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tifo said:It used to have to be paid back in 12 months unless it's changed to 24.
It's 24 months now, if you applied for an advance after 12th April 2021. https://www.gov.uk/guidance/universal-credit-advances#cost-of-repayments
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