To tell you about Help to Save scheme

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Sorry not really an AIBU but there is this new scheme to help low income savers and thought some of you might want to know about it.

www.moneyadviceservice.org.uk/en/articles/help-to-save-explained

Because their income is very low , do you really not get that or are you on a wind up? I genuinely can’t tell.

This is brilliant! Thanks for the heads up!

No I am not on a wind up whatsoever. I genuinely don't see why this is only for those claiming benefits!? As I say, I would very much welcome a £250 bonus, or £250 interest on my savings. My income is average at best, I can't save anywhere NEAR enough to get £250 interest on my savings.

Well I think it’s a good idea, regardless of what moaning myrtles think.

KanielOutis Can you open an account each per couple...? I claim WTC as a couple, I'd have thought one claim per couple/household.

I agree with PinkGin24
Both work, earn slightly (very slightly) too much to claim anything but we have no 'luxuries' and only buy essentials-only clothes for DS for example.
By the time we've paid our travel to work we're way below the threshold but that's not taken into account. Not everything is black and white

It's a great scheme.
It's just a shame it's not more widely known about.

It's definitely one account per person. As I said, DH & I both have one of these accounts, and we claim tax credits as a couple. We don't get the working tax credit element as our income is too high, but we have an entitlement to it, even though it's reduced to zero because of earning. We get a very small amount of child tax credit.

@ABigBraclet definitely one per person even if only one person in couple receives wtc.

Thank you.

Interesting, thank you OP.

I agree it’s atrocious that this scheme has appeared to help out people on benefits.

Anyone working in this day and age should be completely self sufficient financially.

Shame our economy is loaded in favour of those who already have money and is reliant on cheap, unstable labour to stay solvent meaning people can’t afford to live on what’s available to earn in a society that irresponsibly keeps pricing them out of the basics expected in a civilised society.

Fuckers.

How low does income have to be to get tax credits?

I think some people on here ignorantly believe you are either a millionaire or on a low enough income to recieve WTC

There are people who are barely over the threshold for WTC and well under it once travel costs are applied. These are the people who are penalised by these 'schemes'. I.e. earn NOWHERE near enough to earn £250 in interest on their savings yet still aren't eligable for this scheme.

DH and I have one each, we get the equivalent in child tax credits towards our childcare costs as to what we would get if we used the tax free child care scheme, so it made sense to stay on tax credits so we could open the help to save accounts.

For those moaning that people on benefits shouldn’t have money spare to save, we don’t go on holiday, don’t drink or smoke and budget so we can afford to save a bit towards unexpected costs.

Thanks for posting this op. I've just opened one and put a tenner in. Hope to up to £20 next month. I'd gladly swap my small bonus that I'll get saving £10-20 per month to be in the position to be earning enough to not claim tax credits. My (old and needed for work) car is making a funny noise and I'm ignoring it because I'm concerned I won't be able to afford to fix it, I'm a lone parent and although we're not in poverty, we're very much just about managing. I've been meaning to start saving to have a small buffer for when things go wrong

What’s the threshold for being eligible. My monthly wage is £500. Inthen get UC top up

@Imustbemad00

The gov website says this:
claiming Universal Credit and your household income in your last monthly assessment period was £542.88 or more
Payments from Universal Credit do not count as part of your household income.

Agree with @PinkGin24

Me and my husband both work In low paid jobs and have a toddler. We can't claim any benefits but don't really have any money to save at the end of each month and would love to be able to open a savings account and get rewards like this.

I think it's a good idea. People on very low incomes who have to claim benefits won't have much money to save each month after all the essentials so this top up will hopefully help top any savings up so there is a buffer if something goes wrong.

If you earn too much to claim benefits then you don't need the top up. Yes it would be nice, but it would be a waste of government money if everyone got it, there has to be a cut off somewhere. I would love a free £250 to top up my savings but I don't need it and I would rather it went to those who do.

Thanks for this OP, I had no idea it existed.

However I find it amazing that this is available. A couple could put in the max £50 each. At the end of 2 years they will get £600 each and then after another 2 years another £600 each. So £2400 completely
free.

@ChoriChori when you actually work out the maths that makes me even more angry!

Genuinely hope they do 'lose' the money. This is entirely unfair.

@Cloudsurfing, speak for yourself. I am not eligable for benefots but me and my Partner could certainly do with £2,400 extra after 4 years!! No savings account in existence gives yoh that ROI.

Thank you for this information, I didn’t know about it

@Sugarhunnyicedtea
Have you looked at universal credit? Apparently you can earn slightly more and still be eligible to claim than under tax credits