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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Original poster

Universal Credit...AIBU to ask what do people do while they are waiting for payment?

35 replies

GratefulHead · 29/05/2015 14:19

A friend of mine has been on a zero hours contract for the past year and as time has gone in HES had less and less work. He's a Carer and very good in working 1-1 for people with LD. The agency he works through just don't have any clients for him at the moment although they expect this to change.

So he has just signed back on in the meantime as he cannot find anything else locally. He doesn't drive so is reliant on public transport which makes things harder.

Anyhow, our area has gone over to UC now....he's been told that it will be a month plus seven days before he gets any payment and I am shocked. As he has some left over salary he will manage until this comes in . However, what about people who are paid weekly usually....how do they cope financially until money starts coming in?

Tbh it smacks of those in power coming up with a system which doesn't consider people in various situations. My friend will cope as he can pay his rent etc. I am quite honestly expecting to buy him a few groceries though as he has depression and can get into a spiral of not eating when money is tight. he has no family to support him at all.

Anyone work in the system, how do people cope with it? Is there anything g he can apply for in the short term if he cannot afford electricity etc?

Surely there is a safety net.

OP posts:
BlueThursday · 29/05/2015 14:27

Wouldn't it be the same as someone who has changed jobs? Getting paid in arrears rather than advance?

Reginafalangie · 29/05/2015 14:32

If you are applying first time for benefits and you are awarded UC then yes you wait a month. The reason for this is they are trying to make the payments akin to having a "working" wage so that people get used to budgeting on a monthly basis as this is how most salaries are paid.

If you are in receipt of benefits and are changing over to UC there will not be a month long wait. They will ensure there is a smooth changeover without anyone having to go a month with no benefits.

I have literally just finished my departments training on UC and this is one of the things that concerned us to but apparently it will work out ok.

Original poster
GratefulHead · 29/05/2015 14:34

Yes you could be right Blue.

Tbh I have always worked and always had a monthly salary. It was a shock going from that to payments here and there're with benefits. It makes planning a nightmare so if I am still a Carer when it's rolled out for everyone I will welcome it.

I just wondered what peope, who get paid weekly do. Does anyone get weekly pay anymore?

OP posts:
shipinabottle · 29/05/2015 15:09

Regina it isn't true if already on benefits then there is no delay in payment. There is a delay as it is paid monthly in arrears whether you on full benefit or new claim.

There is a minimum month wait with no money. You can apply for a loan which has to be paid back but the job centre are reluctant to let everyone do this. The loan is also nit guaranteed that you can get.

I have read several cases of people on benefit waiting well over 6 weeks for money due to computer error and they have no money whatsoever.

It is shocking

SugarOnTop · 29/05/2015 15:27

you live on asda's smart price noodles and drink lots of water to fill your stomach - that's after you've raided your penny jar. if you haven't a penny jar and no loan and no one to help you out - then you starve an die - or end up stealing to stay alive. it happens. welcome to the 21st century in a first world country Sad

Original poster
GratefulHead · 29/05/2015 15:33

Yep bless him, he already lives on smart price noodles etc as his income wasn't brilliant before. Good to know about the loan but I suspect he will be reluctant to borrow anything.

It's not a problem, will get him over for a few meals and add a coup,e of its to the shopping list to bulk him out until things get sorted.

OP posts:
chasingroses · 29/05/2015 15:37

My plan is to get a budgeting loan just before we have to switch over. I can get £812, which isn't enough to cover the month, but with a bit of belt tightening, food bank and cutting corners with the rent (am in council housing so they don't tend to take action as long as I agree to make small payments) I should manage it.

I've got quite used to having my weekly tax credits so it's going to be hard switching over, although some of my other benefits are paid fortnightly or 4-weekly. Personally I prefer having my different benefits paid at odd intervals, I sort of lose track of when the different ones are due so it's a nice surprise when it does appear in my bank account.

Reginafalangie · 29/05/2015 16:28

Regina it isn't true if already on benefits then there is no delay in payment. There is a delay as it is paid monthly in arrears whether you on full benefit or new claim.

I better tell the CAB that their training is wrong then and the government policies that were handed out to each of us is also incorrect.

BettyCatKitten · 29/05/2015 16:49

I feel really sorry for your friend. Can you help out at all?
If he gets really stuck he can get s referral for the food bankSad
I can't believe in one of the richest countries people have to rely on them, but sadly it is a factSad

Original poster
GratefulHead · 29/05/2015 16:54

Hi Betty, yes I can and will help him with food etc. he is quite vulnerable as he was seriously suicidal for many years and had several serious attempts on his life. Over the last few years he has recovered so much he can finally work again and he loves the job he does and is very good at it. The person he worked with has moved out of area though hence he is without work until he can find another client.

I keep in regular touch with him and keep an eye on how he is doing. He will get by but I jst wondered what those who were paid weekly did.

OP posts:
AnyoneForTennis · 29/05/2015 17:01

I thought budgeting loans had gone now?

ijustwanttobeme · 29/05/2015 17:09

Your friend needs to ask for an advance.

The job centre should have advised that he's entitled to request thus, especially as he's coming onto a monthly benefit fir the first time.

IIRC he can ask for up to half of what his total UC payment will be. Assuming it's agreed, he could get the advance paid into his account the next day.

Advances are repaid over 6 or 12months, depending if it's a benefit transfer advance or a new claim advance (can't remember which way round though, sorry).

ItsAllGoingToBeFine · 29/05/2015 17:09

Can he get a referral to a food bank?

This whole situation is utterly shit - we are meant to be a civilised society, and this should not be allowed to happen. And the worst thing is that there has only been a few benefit cuts so far - the worst is yet to come. Angry

ijustwanttobeme · 29/05/2015 17:11

Btw, I don't work for the DWP, but have been involved with UC as our local authority is involved with a specific test project.

chasingroses · 29/05/2015 17:16

No AnyoneForTennis you can still get budgeting loans, I got one a few months ago and I'm just starting to pay it back now.

LuisSuarezTeeth · 29/05/2015 17:41

Many people who will receive UC will be on zero hours which is commonly paid weekly. Many low income jobs are also paid weekly, which is yet another reason why UC is a crap idea.

morethanpotatoprints · 29/05/2015 17:59

I think that what they announce and how it works in practice is completely different as we find with tax credits atm.

I agree, lots of jobs are paid weekly and I don't buy the reasoning of being paid as a worker would. How condescending is that as well.
"You are poor, so don't know how to manage your money" wtf.

Songlark · 29/05/2015 18:06

Persecution of the poor while the rich get richer. How do they sleep at night.Angry

LuisSuarezTeeth · 29/05/2015 21:35

Why should you have to get a loan because they change the system?

JaceLancs · 29/05/2015 22:32

You have to be very careful as to the dates you claim too!
A friend was made redundant towards the end of Feb, rang to claim UC and was told to wait until after they had received their final pay.
Got paid on 27th Feb and made a claim online that day
They were then informed that they had claimed a day too early and would not be entitled to any UC until 5 May!!
They had to resort to food bank twice during intervening 9 weeks, are now I serious rent arrears and being taken to court for non payment of council tax
When they eventually received their UC nearly a third of it went in bank charges for all the direct debits etc which had gone unpaid
I struggle along myself but helped them as much as I could within my own limited means

YsabellStoHelit · 29/05/2015 22:38

The system is insane. We waited several weeks with no money then many months on very low money until they sorted out all the assessments. Luckily we had savings but essentially being forced onto benefits wiped out literally EVERYTHING we had. We did get a massive lump sums months down the line but it's not much compensation when it dissappears to pay off all the people you borrowed from/bank charges you wracked up...

CadieAgain · 29/05/2015 22:41

U.C hasn't reached my area yet but the housing association sent letter advising people to save up two years ago. I don't know why they've stopped doing it.

Perhaps (like me) they were hoping that Iain Duncan Smith would be sacked for incompetence / wasting millions of tax payers money and it wouldn't happen Sad

ilovesooty · 29/05/2015 22:53

I went to a welfare conference last year to which Esther McVey was invited. She didn't come but the underling she sent told the conference that people switched to UC would wait up to five weeks to receive payment.

Wishitwaswarmer · 29/05/2015 22:53

I volunteer at a local food bank and have recently been doing some analysis of our food bank users. At the moment by far the majority are those on low income/no income/homeless but there is a significant number who are using the service due to benefit delays or sanctions. We have only just started looking at the client data so it will be interesting to see how the trends change over time

shipinabottle · 29/05/2015 23:02

Regina please read point 11 on the link which says it is paid in arrears and there is a wait. The link is a gov website

www.gov.uk/government/uploads/system/uploads/attachment_data/file/403738/universal-credit-and-rented-housing.pdf