Social Fund Budgeting loan

You can get help if you need money for essential household items. Budgeting loans help with costs such as furniture or essential household equipment, clothing, footwear or home improvements. Budgeting Loans are interest-free and you must repay your loan.

Eligibility

You may be able to get a Social Fund Budgeting loan if you or your partner have been continuously receiving one, or more of the following benefits for the past 26 weeks:

If you moved from Universal Credit to Pension Credit, any time you were getting Universal Credit will count towards the 26 weeks.

You cannot get a Social Fund Budgeting loan if you or your partner currently claim Universal Credit.

Social Fund Budgeting loans can be used to help pay for any of the following:

Effect on other benefits

A Social Fund Budgeting loan does not count as income and will not affect other benefits you're getting.

How to apply

You can fill out a Social Fund Budgeting loan form SF500 on screen and print it off.

You can request a form by post or by phoning 0800 0224 250

The form comes with notes to help you fill it in and tells you where to send it.

There is a different form and postal address if you live in England, Scotland or Wales.

If you use sign language, you might be able to use the video relay service.

How you will receive a decision about your loan application


Your Social Fund Budgeting loan decision is usually sent by letter. You can also receive a telephone communication about your loan decision. Telephone communications will allow you to receive your payment faster than by post.

If you do not want to use the telephone process you can return your offer letter by post in the usual way.

You can also view an information leaflet to explain the application process.

How much you'll get

You can apply to borrow between £100 and £1,500. The amount you get will depend on:

The following cannot be taken into account:

How the loan is paid

The loan will be paid into the account you provided detail of.

Repaying the loan

Your repayments are worked out at the time your loan is agreed. Your repayments will be based on what you can afford. You will also be asked to agree how you will repay the loan before you get the payment.

They are usually taken out of your benefit. If you stop getting benefits, you will need to arrange another way to repay the loan.

The repayments are interest-free, so you only pay back what you borrowed and no more.

You normally have to repay a Social Fund Budgeting loan within a maximum of 104 weeks. If you have problems later making the repayments, you can make contact on Freephone 0800 022 4250 to discuss your circumstances.

If you are unhappy with a decision

If you are unhappy with a decision on your application for a Social Fund Budgeting loan, you can ask for a review.

You must write to the address below within 28 days of the decision, or call 0800 022 4250 explaining why you think the decision is wrong and asking for it to be reviewed.

Budgeting Loan, Social Fund
Mail Opening Unit
PO Box 42
Limavady
BT49 4AN

If after that review, you still think the decision was wrong, you can ask for the Independent Case Examiner, who is independent of the Department for Communities to carry out another review.

The review process is quick and simple, and should take no longer than 21 days.

Help with making a claim

For further help to claim a Social Fund Budgeting loan, call 0800 022 4250, contact your local Jobs & Benefits office or get independent help and advice from Advice NI

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