A Guide To Budgeting Loan Eligibility

A budgeting loan is a tax free form of loan offering money provided by the Social Fund and offering assistance to meet payments that those on a low income may not necessarily be able to budget for. Low income individuals and families are able to apply for the loan, which is in actual fact just one of several forms of loan offered by the Social Fund and through the Department of Work and Pensions, or DWP. If you are considering applying then you should first determine whether or not you are eligible for the loan:


You must be claiming one of the various income related benefits that are available. This includes the following:

• Income Support
• Income Related Employment and Support Allowance
• Income Based Jobseeker’s Allowance
• Pension Credit

Furthermore, you will only be eligible for a DWP budgeting loan if you have been claiming one of these benefits for a period of 26 weeks or more. A short break of a few days in the middle of your claim period may still be accepted but longer breaks will not.

Loan Fund Use

Budgeting loan eligibility is also determined by how you will use the funds from the loan. It is designed as an emergency loan and is usually provided for any emergency requirement that you are unable to budget for in a typical month. Uses include:

• Buying new clothes
• Buying new furniture
• Covering expenses to look for work
• Covering expenses to attend your new job
• Travelling expenses
• Help with funeral costs
• Help with maternity expenses
• Advance rent
• Removal expenses to move to a new home

Social Fund Debts

You may apply as an individual or with your partner. However, during your application, it will be determined whether or not you already have any outstanding debts with the Social Fund. This may mean through another budgeting loan or through a crisis loan. Typically, any one individual may only be allowed up to £1,500 in Social Fund debt and if you have an existing Crisis Loan then this will be taken into account when calculating the amount you are able to borrow.

Applying For Your DWP Budgeting Loan

If you meet all of these budgeting loan eligibility criteria and you need to access the money that may be made available from such an emergency loan then you can apply now. Download the form via the BudgetingLoan.co.uk website and you could have access to the money provided within a few weeks.

Where Can I Find The Budgeting Loan Return Address?

A budgeting loan is an interest free loan that offers access to cash directly from the government funded Social Fund. It enables those on a low income to borrow money in order to pay for purchases of things like clothes, furniture, and even travel expenses to get to a new job. The form is usually available through your local Jobcentre Plus or you can find it here.

The Jobcentre Plus budgeting loan is offered by the Department for Work and Pensions via the Jobcentre Plus and this is where you should send your completed return. There is a central office that deals with applications which means that you can use your local office wherever you are located in the country.

To find the budgeting loan return address take a look in your local phone book under the business section. If you contacted the Jobcentre Plus to request your form then you can use the same address and your application will be forwarded on to the appropriate department.

These loans are a form of interest free loan from the Social Fund that are provided specifically to families and individuals that are on a low income and have been claiming certain benefits for 26 weeks or longer. Browse the rest of the site to find out more about the budget loan process.

How Can I Check Progress Of Budgeting Loan Applications?

A Jobcentre Plus budgeting loan is designed to assist individuals and families on low income to be able to afford emergency expenses that crop up; expenses that those on income related benefits are usually unable to budget for. This may include the purchase of new furniture and new clothes, or it may provide money to help find work or to pay for covering expenses during the first stages of employment. As such, the budgeting loan application is designed to be fast and efficient.

Unfortunately, it is not possible to check the progress of your social fund loan online and the only way that you can really check progress of budgeting loan applications is via the Jobcentre Plus contact number. However, you should allow enough time for the application to run its course before you make contact and try to acquire an update on progress.

The initial application can take around two weeks before you are given a response. If you accept one of the offers given then you will usually receive the money within a week but you should allow another couple of days before ringing.

If you want to check the progress of your application and haven’t heard within these deadlines then call the Jobcentre Plus budgeting loan phone number to find out.

Am I Entitled To A Budgeting Loan On Incapacity Benefit?

There are a number of criteria that you must meet in order to be eligible to apply for a budgeting loan. One of the main criteria is that you have to be on one of a number of different benefits and you must have been claiming that benefit for a period of 26 weeks, or half a year. Your application will also depend on whether you owe any other money to the Social Fund, whether you have any savings, and what you need the money for.

The good news is that a budgeting loan from the DWP is offered to those that have been claiming incapacity benefit for 26 weeks or more.

Please note that no new Incapacity Benefit claims have been accepted since the end of January 2011 and individuals should now be claiming the Employment and Support Allowance benefit instead. In many ways this is a change of name and if you are claiming Employment and Support Allowance and have been for 26 weeks or more then you may be entitled to apply for a DWP Budgeting Loan.

Complete a budgeting loan application form and submit it to your local Jobcentre Plus office to have it reviewed. The process is quick and simple, and you should have a decision within two weeks of applying.

Can I Apply For A Budgeting Loan To Help Me Move House?

A budgeting loan is an emergency loan that comes from the government via the Social Fund. It is arranged and managed by the Jobcentre Plus and it can be used for a number of different purposes. You will need to outline its use when you complete the application and the adjudicator will determine whether it really is a required use.

You can use the fund to pay for repairs to your home or to secure your home. You can also use it to pay for any expenses associated with finding and even starting a new job. If you, or your children, need new footwear or clothing then you can apply for a DWP budgeting loan too. Alternatively, it is possible to apply for the loan in a bid to help you meet the costs of moving.

Moving house is never a cheap option and even ignoring the costs of buying or letting the property you will need to consider other costs too. Happily, the budgeting loan can be used for this purpose. If you have already moved and had to borrow money to make the necessary payments you may still be able to receive the funds from a budgeting loan to help make the necessary repayments.

More questions on budgeting loans?

What Qualifies You For A Budgeting Loan From The DWP?

A budgeting loan from the DWP can prove a highly beneficial means of accessing money that you need for an emergency payment. Not everybody is entitled to apply for these loans, which come from the Social Fund and are arranged by the Jobcentre Plus, but if you claim certain benefits and have done for a certain period of time, and you do have a genuine need for the money, then you may well be eligible to apply.

You must have been claiming Jobseeker’s Allowance, income related Employment and Support Allowance (formerly known as Incapacity Benefit), Income Support, or Pension Credit for the past 26 weeks in order to claim. However, this isn’t the only criteria that you must meet to be considered.

You need to have a genuine requirement for the money and it must be for furniture, clothing, moving costs and advance rent, travel expenses, money to help you find gainful employment, home costs, maternity or funeral costs, or to pay off debts that you have accumulated to pay for any of these things.

The amount you receive will depend on the reason for borrowing the money, your savings, and whether you already owe money to the social fund. Also, whether you are submitting a solo or joint application will also be taken into consideration.

It’s Two Weeks Since My Budgeting Loan Application – Has It Been Turned Down?

Many people apply for budgeting loans as a means to meet unexpected and often emergency expenses. The loan can be used for a huge variety of purposes including expenses for moving to a new home and this means that, if you have applied, then you are no doubt anxious to hear back. Fortunately, the Jobcentre Plus has given timeframes in which you should hear back and if you don’t you can contact them to enquire.

They say that every application will be answered within 9 working days of them having received your initial application. As such, after two weeks, you should have heard back by now. You can, by all means, contact the Jobcentre Plus to find out why you haven’t had a response but don’t assume that this means the response is bad news. You should hear back within this timeframe whether your application is successful or not.

There are certain times of year when more people apply for this type of loan and, if you too apply then, you will be more likely to experience a delay. If you submit your budgeting loan application during a quiet period then there is a good chance you will hear days before the two week deadline is up. If you haven’t heard back after two weeks then use the Jobcentre Plus budgeting loan contact number to call them.

How Long After Sending My Budgeting Loan Acceptance Will I Receive My Money?

When you complete your DWP budgeting loan form, you will have been asked to provide details of a financial account where the money can be paid. A basic bank account, current account, Post Office account, building society account, or credit union account are all deemed as being suitable types of account.

Once you return your acceptance form it is really just a matter of waiting for the money to be placed in your account. While these can be anxious times, especially as the money is typically given for use in emergencies, there is little you can do to speed up the process.

Generally, it takes around a week for the money from a DWP budgeting loan to go into your account after you have returned the acceptance form. Do ensure that you complete the forms fully and follow the instructions to return the application. A failure to provide necessary data could lead to a delay in you being paid the money.

If you have not heard back after two weeks then you can use the budgeting loan phone number to call the Jobcentre Plus and ask why there has been a hold up. Busier times may mean that you have to wait longer to receive access to the cash.

How Long Does A Budgeting Loan Take To Process?

A budgeting loan is meant as a form of emergency loan for those that a claiming any of a number of benefits. As such, the application and acceptance process are designed to be quick but a lot can depend on when you apply.

The Jobcentre Plus has stated that a decision should be made on every budgeting loan application within 9 working days from the day they receive your application. As such, this means that you may have to wait around two weeks for a decision.

Budgeting Loan; How Long?

You will receive a minimum of one offer and possibly more. Once you have decided which to choose you should return your acceptance so that your money can be processed as quickly as possible. There is no set time for how long it will take for the money to reach your account but it usually takes around a week.

The money from your DWP budgeting loan will be paid directly into your bank account, post office account, or other financial account as agreed when you completed the form. If you haven’t receive the money within a couple of weeks you should contact the Jobcentre Plus to ask why the money is not yet in your account.