Category: QnA

A budgeting loan is designed to assist those that are on a low income to meet extraordinary costs that do not crop up often, are essential to everyday life, and would be difficult to pay especially for those on benefits. There are certain criteria that you must meet in order to be accepted for such a loan and, following application, you will receive a decision by letter from the DWP.

Looking through forums and advice sites, one of the most common reasons for being rejected a budgeting loan is the fact that the applicant does not meet the full requirements. Specifically, your application will be rejected if you have not been in receipt of the appropriate benefits for a minimum of 26 continuous weeks. Read the full list of budgeting loan eligibility criteria.

When you receive a response from the DWP you will either receive one or more offers for the loan or you will receive a rejection letter. You do have the right to ask for the decision to be reviewed but if you fail to meet any of the eligibility criteria, including being in receipt of the right benefits, your review will give the same outcome.

You have the right to request a review within 28 days and by writing to the Jobcentre Plus. You should explain why you believe the decision was an incorrect one and if this review still comes up unsatisfactory then you can request a further review by the Social Fund Inspector. The Inspectors are independent from the DWP and you can download the appropriate form from their website here:

http://www.irs-review.org.uk/infocent/leafbook/irs1/irs1.pdf

If you are turned down for a budgeting loan then you may need to consider other options. Steer clear of high interest debts like payday loans because they can and often do lead to further financial trouble. An IVA, or Individual Voluntary Agreement, may be a good way of reducing your monthly expenditure because it could lead to a reduction in your monthly outgoings but there are ramifications to an IVA because they remain on your credit file for 6 years from the date of acceptance. You can find out more information on IVA applications on the BudgetingLoan.co.uk site.

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.

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.

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.

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?

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.

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.