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Original poster

£500 one off payment tax credits.

446 replies

Hey2492 · 31/03/2021 16:16

Apologies for not posting in the right area but thought it may reach a lot of people!

Dp got a text today to say that one off payments of £500 are being paid by 23rd April. I didn’t think we would be eligible. Is it just a generic text sent to everyone or just those entitled? I thought it was only for those on working tax credits, we only get child tax credits I believe.

To clarify. Dp works and has worked all the way through the pandemic and earns around £30,000 a year. I am currently a stay at home mum to out two children who both have additional needs. The bulk of our child tax credits are based on my children receiving disability living allowance rather than dp’s earnings. We do get some based on his earnings though.

I am really clueless 😂 I thought tax credits were eventually being changed over to universal credit too. We still get ‘tax credits’ and not universal credit.

Advice for a confused mum.

We own our own home and don’t get any other benefits apart from the DLA my children get and the tax credits (obviously child benefit too). £500 would be very appreciated!

Tia.

OP posts:
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13
FoxyTheFox · 13/04/2021 15:00

The rental sector and the mortgage/property industry need a solid boot up the arse. If someone can prove they have consistently paid rent of (e.g.) £900 a month for several years without a single missed payment then it seems silly that they'd fail affordability/reliability checks for a mortgage that equates to (e.g.) £600 a month.

Tink2007 · 13/04/2021 15:18

@FoxyTheFox

The rental sector and the mortgage/property industry need a solid boot up the arse. If someone can prove they have consistently paid rent of (e.g.) £900 a month for several years without a single missed payment then it seems silly that they'd fail affordability/reliability checks for a mortgage that equates to (e.g.) £600 a month.
Exactly! £1350 a month rent we pay for a 2 bed house. Never missed a payment. Always a couple of days early.
Tink2007 · 13/04/2021 15:19

[quote Skymum82]@Tink2007 totally! Me and hubby for 5 years before our first was working full time, bank wouldn't give us a mortgage. We left home at 18 and didn't have the opportunity to stay at home to save for a deposit! Our rent was £650 a month (not posh basic for our area). A mortgage on a property the same size would of been £400 a month!
Luckily We have council house now (only due to children being disabled we got one). Or for a 3 bed we would be paying £950 plus. A mortgages would be far cheaper......
it's craziness. I'm gutted and feel we missed our opportunity to buy. In the end we paid 10 years of private rent. Never had a penny of housing Ben and would of prob bought our house nearly by now as never faltered on a Payment after 16 years of renting. [/quote]
There’s always the chance. Don’t think you’ve missed it. X

TheHateIsNotGood · 13/04/2021 15:21

Just for a bit of clarity on the £500 payment, I think it's to level up the WTC with UC claimants who received an additional £20pw for CV19.

WTC is a 'legacy' benefit, having been replaced by UC, so WTC claimants are a minority of those that receive in-work benefits.

I got my text a week or so ago and it said that I should receive the £500 payment by the 23rd of April. I'm very grateful and appreciative of it if I do - WTC has kept me in employment as I'm an LP with an ASD DS.

Having said that, I completely agree with foxy that any negativity should be directed at the Employers, particularly the 'big chains', who manufacture their pay and work T&Cs specifically to take advantage of any In-work Benefits to subsidise their Employees.

catsandchaos · 13/04/2021 15:53

We got £20 extra a week. That's now dropped back down. Does that mean we will get the £500?

EvilOnion · 13/04/2021 16:02

If you met the criteria for Working tax credits on 2nd March you are eligible for the one off payment.

Stitch16 · 13/04/2021 16:40

I was receiving working tax till last wk and it ended, and noticed tax credits have gone down by £18 a week also, i wouldnt of got a text as hmrc had my old num, so would i be intitled to this £500?

mightymalties · 13/04/2021 20:08

I'm speculating here, though I hope it may be useful...

So far as I'm aware, details of TC and WTC payments are shared with other government bodies, such as local authorities (who use these figures to work out eligibility for HB and CTB).

The £500 one off payment is supposed to be tax-free and not to be "included as income" for HB and CTB purposes. Therefore, it stands to reason that this payment should not show up on the system for upcoming payments to avoid complications for local authorities and other bodies when deciding entitlement for other benefits.

Personally, I'm glad it will be paid this way as my LA use any slight change in my entitlement to WTC to suspend my HB/CTC. The systems see a change in the amounts I receive, but not the reason for it. So a one-off £500 payment could cause all sorts of chaos!

Flumpy110313 · 14/04/2021 06:31

Is anyone else checking there bank like a maniac.
Money would come in really handy as I'm sure most are thinking.Nothing today but fingers crossed for you all x

Cbe07 · 14/04/2021 06:33

Ha ha I check every morning nothing here either.

Tink2007 · 14/04/2021 07:04

@Flumpy110313

Is anyone else checking there bank like a maniac. Money would come in really handy as I'm sure most are thinking.Nothing today but fingers crossed for you all x
Yep 🤣 I have a Monzo account so it will show up a bit early in the upcoming payments but nothing showing yet. Just my CTC tomorrow.
EvilOnion · 14/04/2021 07:08

I'm checking but fully expecting to miss out on a loophole 🤣

I wonder if this week might be processing and next week payments will go out.

Thehop · 14/04/2021 07:13

@FoxyTheFox couldn’t agree more.

I rent out my old house as I couldn’t sell it and the girl who lived in failed all the credit checks for the place she applied for before she came to me. She was very upfront so we didn’t bother doing the credit check as she showed me her record of paying more rent always on time at her last rental, and had a glowing reference.

Computers aren’t a good judge of affordability. In my experience, paying her last rent on the dot every month for 3 years was enough for me. She’s been in 2 years and never missed a beat.

I feel really sorry for anyone trying to get a mortgage now. When I applied for mine the bank manager came to the house for a cup of tea and did the paperwork! I worry about my kids hugely. Even living in the cheap North isn’t enough any more.

Erad12 · 14/04/2021 08:37

Nothing here either 😔. I was told years ago that if you get tax credits on a friday then your payment is processed on the tuesday. So if they are processing payments this week then they could reach bank accounts from tomorrow xxxx

Flumpy110313 · 14/04/2021 08:54

I am paranoid now lol I think we all need a boost at this time and it's like being on a cliff edge.
We've relied on food banks and this week its so tough and I'm trying not to be too upset at how much we are struggling

Skymum82 · 14/04/2021 08:57

@Thehop thanks for that. Honestly I have a friend who is totally anti child tax credits, because she has bought (although that makes no sense she said her partner paid nothing into it I can't see how someone who has been on maternity leave so many times and works such a. Few hours and paid for everything). Did. And acts like everyone should and scrounger if you have a council house and don't work hard. So it's nice someone in your position saying that!

Skymum82 · 14/04/2021 08:58

It's been such a tough year. This money will be a massive help. Even if it's it just goes towards the cars. It's very frustrating that have been so unclear!

Thehop · 14/04/2021 08:59

@skymum I was a single parent to 3 boys for 8 years before meeting my husband. I only managed because of tax credits. We’d honestly have starved or gone bankrupt otherwise.

Thehop · 14/04/2021 09:02

@Skymum82 and I only managed to buy my house because it was mega cheap in the 90s! Terraces in Yorkshire were floating around at £20k. I couldn’t even afford to rent it now. Times are shit.

Erad12 · 14/04/2021 09:13

@Flumpy110313 bless you, were in the same boat, I'd of loved to be able to treat the kids over the easter holidays instead of scraping together what I can. Let's hope it comes through soon and we can all relax a bit xxxx

Flumpy110313 · 14/04/2021 09:15

We are definitely all in a predicament at this time thankyou I've my fingers crossed for everyone let's all be able breath a little.x

Idiotathome79 · 14/04/2021 12:15

Can anyone help Me understand this , I was just reading if I would be eligible i, but I don't understand this statement

Child Tax Credit payments and are eligible for Working Tax Credit but do not get a payment because their income is too high

I get child tax and have a child with disability , I don't get working tax .

EvilOnion · 14/04/2021 12:36

If you meet the criteria for working tax credits i.e. are in employment for 16 hours+ as a single person or 24+ as part of a couple but earn too much to receive payments.

Idiotathome79 · 14/04/2021 12:52

@EvilOnion so I will get the payment regardless then as long as I get child tax credit ?

Stitch16 · 14/04/2021 13:25

@Idiotathome79 the whole thing confuses me to be honest, i got told belongs someone in the household is working and recieves wtc then you get the £500, but iv also seen on a post a couple earning £40k a year and got a text saying they will get it

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